Question

For the test of significance questions, clearly indicate each of the formal steps in the test...

For the test of significance questions, clearly indicate each of the formal steps in the test of significance.

Step 1: State the null and alternative hypothesis.
Step 2: Calculate the test statistic.
Step 3: Find the p-value.

Step 4: State your conclusion. (Do not just say “Reject H0” or “Do not reject H0”, state the conclusion in the context of the problem.)

A coffee shop claims that its fresh-brewed drinks have a mean caffeine content of 80 milligrams per 5 ounces.Acityhealthagencybelievesthatthecoffeeshop’sfresh- breweddrinkshavehighercaffeine content. To test this claim the health agency takes a random sample of 100 five-ounce servings and found the average mean caffeine content of the sample was 87 milligrams with standard deviation of 25 milligrams. Doesthisprovideenoughevidenceatthe1%significanceleveltoclaimthatthecoffeeshop’s fresh- brewed drinks have higher caffeine content? (Adapted from Reader’s Digest Eating for Good Health.)

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