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What is the level of significance

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Reference no: EM132412476

The average annual miles driven per vehicle in the US is 11.1 thousand miles, with σ ≈ 600 miles. Suppose that a random sample of 31 vehicles owned by residents in Chicago showed that the average mileage driven last year was 10.8 thousand miles. Does this indicate that the average miles driven per vehicle in Chicago is different from (higher or lower than) the national average? The level of significance is 0.05.

  • What is being tested in this problem? Single proportion or single mean?
  • What is the level of significance?
  • What is the null and alternate hypotheses?
  • What sampling distribution will be used? What assumptions will be made?
  • What is the value of the sample test statistic?
  • What is the P-value?

Reference no: EM132412476

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