A local brewery distributes beer in bottles labeled 24 ounces. A government agency thinks that the brewery is cheating its customers. The agency selects 50 of these bottles, measures their contents, and obtains a sample mean of 23.6 ounces with a standard deviation of 0.70 ounce. Use a 0.01 significance level to test the agency's claim that the brewery is cheating its customers. DON'T JUST GIVE THE ANSWER - SHOW WORK AND EXPLAIN YOUR PROCESS EACH STEP OF THE WAY SO THAT I CAN FOLLOW WHAT YOU DID AND CHECK YOUR WORK.
Solution :
= 24
= 236
s = 0.70
n = 50
This is the two tailed test .
The null and alternative hypothesis is
H0 : = 24
Ha : 24
= 0.01
The critical value for a two-tailed test is tc=2.68.
The rejection region for this two-tailed test is = t >2.68
Test statistic = t
= ( - ) / s / n
= (23.6 - 24) /0.70 / 50
= -4.041
P (t< -4.041) = 0.0002
P-value = 0.0002
= 0.01
0.0002 < 0.01
Reject the null hypothesis .
There is sufficient evidence to suggest that the brewery is cheating its customers.
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