A coffee shop owner believes the shop’s average daily sales are \$1,200, with a known population standard deviation of \$50. A manager claims it’s higher because of their new initiatives & collects a sample of 25 days and finds an average daily sales of \$1,230.
$\left(B\right)$ The owner’s policy is to reward store managers with a yearly bonus for increased sales. Should the owner give this manager with the bonus?

Use $\alpha$ to find the critical value(s), then determine if the given test statistic is in the rejection region.

$\left(B\right)$

$\alpha =0.10;z=-1.53$

Use $\alpha$ to find the critical value(s), then determine if the given test statistic is in the rejection region.

$\left(C\right)$ $H_0:\mu =98.6$; $H_a:\mu \ne 98.6$

$\alpha =0.05$

$t=2.41;df=17$

Use $\alpha$ to find the critical value(s), then determine if the given test statistic is in the rejection region.

$\left(D\right)$ $H_0:{\sigma }^2=0.3;H_a:{\sigma }^2>0.3$

$\alpha =0.05$

${\chi }^2=61.7;df=51$

A coffee shop owner believes the shop’s average daily sales are \$1,200, with a known population standard deviation of \$50. A manager claims it’s higher because of their new initiatives & collects a sample of 25 days and finds an average daily sales of \$1,230.

$\left(A\right)$ Use $\alpha =0.10$ & the critical value method to test if the true mean daily sales are higher than \$1200.

Mark ‘TRUE’ or ‘FALSE’ for each of the following.

$\left(A\right)$ The test statistic & the critical value are the same thing.

Mark ‘TRUE’ or ‘FALSE’ for each of the following.

$\left(B\right)$ The critical value is the boundary of the rejection region.

Mark ‘TRUE’ or ‘FALSE’ for each of the following.

$\left(C\right)$ You should always reject $H_0$ if the test statistic is greater than the critical value.

Use $\alpha$ to find the critical value(s), then determine if the given test statistic is in the rejection region.

$\left(A\right)$ $H_0:\mu =7.5;H_a:\mu >7.5$

$\alpha =0.01;z=2.17$