Sharona city in Northwestern Pennsylvania, is well-known forDAITINS CANDIE it\'s

Question

Sharona city in Northwestern Pennsylvania, is well-known forDAITINS CANDIE it's world's largest selection of stores-these include Reyer's Shoes, The Winner (clothing), Daffin's Candy etc. During the heyday of Sharon's history when steel mills were flourishing and people came to Sharon to shop, the city also flourished- especially the above mentioned stores. It has been estimated that the number of shoppers in the stores in those days was, on average, 6,250 per day with a stdev of 1,230 depending orn weather, holidays etc. Sally, Sharon's historian claims that that number should be HIGHER (than 6250) and she has a sample mean of 7,000. Test Sally's claim by answering the questions that follow-use a 90% confidence level and sample size of 16 days. THE WINNER REYERS SHOE STORE

Explanation / Answer

Below are the null and alternate hypothesis
H0: mu = 6250
H1: mu > 6250

Test statistics, t = (7000 - 6250)/(1230/sqrt(16)) = 2.4390

p-value = 0.0138

As p-value is less than significance level of 0.1, we reject the null hypothesis.

This means there are significanct evidence to conclude that mean is higher than 6250

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