1. According to the records of an auto insurance company, the average distance that their customers drive to work is 17.4 miles. You are a new agent, and you think this is too low. You do a random polling of 50 of the company's customers, and you find that the average is 18.5 miles with a standard deviation of 3.4 miles. Do these data provide enough evidence at the 0.05 level of significance to conclude that the average distance driven to work is actually more than 17.4 miles? A. State the null and alternative hypotheses B. State the p-value. C. What is your conclusion about the null hypothesis? D. What is your conclusion in context of this problem?

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.4: Distributions Of Data
Problem 19PFA
icon
Related questions
Question
1. According to the records of an auto insurance company, the average distance that their
customers drive to work is 17.4 miles. You are a new agent, and you think this is too low. You do
a random polling of 50 of the company's customers, and you find that the average is 18.5 miles
with a standard deviation of 3.4 miles. Do these data provide enough evidence at the 0.05 level
of significance to conclude that the average distance driven to work is actually more than 17.4
miles?
A. State the null and alternative hypotheses
B. State the p-value.
C. What is your conclusion about the null hypothesis?
D. What is your conclusion in context of this problem?
Transcribed Image Text:1. According to the records of an auto insurance company, the average distance that their customers drive to work is 17.4 miles. You are a new agent, and you think this is too low. You do a random polling of 50 of the company's customers, and you find that the average is 18.5 miles with a standard deviation of 3.4 miles. Do these data provide enough evidence at the 0.05 level of significance to conclude that the average distance driven to work is actually more than 17.4 miles? A. State the null and alternative hypotheses B. State the p-value. C. What is your conclusion about the null hypothesis? D. What is your conclusion in context of this problem?
Expert Solution
Step 1

Introduction:

Denote μ as the true average distance that customers of the auto insurance company drive to work.

trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Recommended textbooks for you
Glencoe Algebra 1, Student Edition, 9780079039897…
Glencoe Algebra 1, Student Edition, 9780079039897…
Algebra
ISBN:
9780079039897
Author:
Carter
Publisher:
McGraw Hill