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Price of History Books. In 2005, the mean retail price of all history books was $78.01....

Price of History Books. In 2005, the mean retail price of all history books was $78.01. A random sample of 40 retail prices from this year's sales was obtained. The average price for this sample calculated to $81.44. At the 1% significance level, do the data provide sufficient evidence to conclude that this year's mean retail price of all history books has increased from the 2005 mean of $78.01? Assume the population standard deviation of prices for this year's history books is $7.61.

a) Determine the null hypothesis.

b) Determine the alternative hypothesis.

c) Determine the critical value(s).

d) Determine the test statistic, then perform the hypothesis test and decide whether the null hypothesis should be rejected/not rejected and why or why not.

Math   Statistics-And-Probability   
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