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A large company that produces allergy medications claims that Americans lose an

ID: 3363805 • Letter: A

Question

A large company that produces allergy medications claims that Americans lose an average of 40 hours of work to problems related to seasonal allergies.  A consumer advocacy group believes that this claim is actually just “hype” intended to sell more medication and that Americans actually lose less than 40 hours of work due to problems related to seasonal allergies.  The advocacy group would like to obtain statistical evidence about this issue and takes a random sample of 100 American workers.  They find that these 100 people lost an average of 38 hours with a standard deviation of 9.5 hours.

What is the value of the standardized test statistic for this significance test? Round to the nearest tenth (one decimal place).

A. -2.1

Explanation / Answer

x=40, mean is 38 and s is 9.5

thus z value is (x-mean)/s =40-38/9.5=2.1

thus answer is B

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