Business Statistics question 1
May 29th, 2022
Question 1
A sample of 81 account balances of a credit company showed an average balance of $1,200 with a standard deviation of $126.
- Formulate the hypotheses that can be used to determine whether the mean of all account balances is significantly different from $1,150.
- Compute the test statistic.
- Using the p-value approach, what is your conclusion? Let α = .05.