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According to a study, the mean cost of baristric surgery is $21,500. You think t

ID: 3326505 • Letter: A

Question

According to a study, the mean cost of baristric surgery is $21,500. You think this information is incorrect. You randomly selected 25 bariateic surgdty patients and that the mean cost for surgeries is $20,695. From past studies, the population standard deviation is known to be $2250 and the population is normally distributed. Sta= 0.05, is there enough evidence to reject the study’s claim?
1. Identify the null hypothesis 2. Identify the alternate hypothesis 3. Which hypothesis represents the claim ? 4. Identify the level of significance 5. Sketch the curve 6. Establish the decision making criteria to reject the null hypothesis or not 7. Calculate the test statistic 8. Make the decision to to reject the null hypothesis or not with evidence 9. Can you reject the department claim? Explain your answer
Show all work. According to a study, the mean cost of baristric surgery is $21,500. You think this information is incorrect. You randomly selected 25 bariateic surgdty patients and that the mean cost for surgeries is $20,695. From past studies, the population standard deviation is known to be $2250 and the population is normally distributed. Sta= 0.05, is there enough evidence to reject the study’s claim?
1. Identify the null hypothesis 2. Identify the alternate hypothesis 3. Which hypothesis represents the claim ? 4. Identify the level of significance 5. Sketch the curve 6. Establish the decision making criteria to reject the null hypothesis or not 7. Calculate the test statistic 8. Make the decision to to reject the null hypothesis or not with evidence 9. Can you reject the department claim? Explain your answer
Show all work.
1. Identify the null hypothesis 2. Identify the alternate hypothesis 3. Which hypothesis represents the claim ? 4. Identify the level of significance 5. Sketch the curve 6. Establish the decision making criteria to reject the null hypothesis or not 7. Calculate the test statistic 8. Make the decision to to reject the null hypothesis or not with evidence 9. Can you reject the department claim? Explain your answer
Show all work.

Explanation / Answer

Given that,
population mean(u)=21500
standard deviation, =2250
sample mean, x =20695
number (n)=25
null, Ho: =21500
alternate, H1: !=21500
level of significance, = 0.05
from standard normal table, two tailed z /2 =1.96
since our test is two-tailed
reject Ho, if zo < -1.96 OR if zo > 1.96
we use test statistic (z) = x-u/(s.d/sqrt(n))
zo = 20695-21500/(2250/sqrt(25)
zo = -1.789
| zo | = 1.789
critical value
the value of |z | at los 5% is 1.96
we got |zo| =1.789 & | z | = 1.96
make decision
hence value of |zo | < | z | and here we do not reject Ho
p-value : two tailed ( double the one tail ) - ha : ( p != -1.789 ) = 0.074
hence value of p0.05 < 0.074, here we do not reject Ho
ANSWERS
---------------
1.null, Ho: =21500
2.alternate, H1: !=21500
3.Z test for single mean because population standard deviation is known
4.level of significance = 0.05
5.do not reject
6.test statistic: -1.789
7.critical value: -1.96 , 1.96
decision: do not reject Ho
8.p-value: 0.074
9.we do not have enough evidence to support the claim

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