Reference no: EM132404122

A high end computer manufacturer sets the retail cost of their computers based in the manufacturing cost , which is $1800. However, the company thinks there are hidden costs and that the average cost to maufacture the computers is actually much more. The compnay randomly selects 40 computers from its facilities and finds that the mean cost to produce a computer is $1950 with a standard deviation of $500 . Run a hypothesis test to see if this thought is true answer the folllowing question.

1) What are the null hypothesis and alternative hypothesis here?

2) Assuming confidence level of 95%, determine the alpha and critical value.

3) Determine whether left tailed or right tailed ot two tailed test is performed.

4) Calculate the test statistics score (z test or t test)

5) Compare the test statistics score with the critical value. Graph results.

6) Determine whether the null hypothesis is rejected or not. Interpret results.