Question

7. (2 pts) A national business magazine reports that the mean age of retirement for women executives is 61.0. A women's rights organization believes that this value does not currently depict the current trend in retirement. To test this the group polled a simple random sample of 95recently retired women executives and found that they had a mean age of retirement of 61.5.Assuming the population standard deviation is 2.5 years, is there sufficient evidence to support the organization’s belief at the 0.05 level of significance.

Answer 1

7. Here claim is that mean is 61

As null hypothesis always have equaity sign, so hypothesis is vs

As population standard deviation is known we will use z statistics

P value is

As P value is greater than alpha=0.05, we fail to reject the null hypothesis

Hence we have sufficient evidence to support the claim that mean is 61.