On February 12, 2013: A 23.5 ounce can of Four Loko malt beverage (made by Phusi

Question

On February 12, 2013: A 23.5 ounce can of Four Loko malt beverage (made by Phusion Projects, LLC) is supposed to have the same equivalent alcohol in it as two regular 12-ounce beers. Phusion is claiming this and that consumers could drink one entire can safely on a single occasion.

https://www.ftc.gov/news-events/press-releases/2013/02/ftc-approves-modified-final-order-settling-charges-against Marketer of Four Loko Malt Beverage

They are claiming that the mean size of a 23.5 ounce can of four Loko malt beverage is the same as two 12 ounce cans of beer. The size of a can is size mean, .

Null hypothesis, H0: = 23.5 ounces Alternative hypothesis, Ha: > 23.5 ounces

This would be a right-tailed hypothesis test

1. Suppose you are the researcher of the hypothesis test and you conclude to either “reject the null hypothesis” or “not to reject the null hypothesis.” Write a statement on your conclusion to the public about this service/product.

Explanation / Answer

If we don't reject the null hypothesis then our conclusion will be: mean size of a 23.5 ounce can of four Loko malt beverage is the same as two 12 ounce cans of beer, i.e. their mean size doesn't differ significantly. (Ans).

If we reject the null hypothesis then our conclusion will be: mean size of 12 ounce cans of beer is significantly higher than the mean size of a 23.5 ounce can of four Loko malt beverage.(Ans).

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