Question

A company advertises their 340 gram bags of granola for $3.75. You think in recent weeks

that the bags contain less than the company states. You weigh 52 bags and find the average to

be 337 grams with a standard deviation of 2 grams. At the 5% level of significance, what can you

conclude about these bags?

Answer 1

H0: >= 340

Ha: < 340

Test statistics

t = (- ) / (S / sqrt(n) )

= (337 - 340) / (2 / sqrt(52) )

= -10.82

This is test statistics value.

Critical value at 0.05 level with 51 df = -1.675

Since test statistics falls in rejection region, Reject H0.

We conclude at 0.05 significance level that we have sufficient evidence to support the claim.