An automobile manufacturer claims that its van has a 59.1 miles/gallon (MPG) rat

Question

An automobile manufacturer claims that its van has a 59.1 miles/gallon (MPG) rating. An independent testing firm has been contracted to test the MPG for this van since it is believed that the van has an incorrect manufacturer's MPG rating. After testing 160 vans, they found a mean MPG of 59.5. Assume the variance is known to be 2.89. A level of significance of 0.1 will be used. Find the value of the test statistic. Round your answer to 2 decimal places. Enter the value of the test statistic. Answer: (Round your answer to 2 decimal places.)

Explanation / Answer

AS N = 160

THEREFORE Z STATIC WILL BE CALCULATED

VARIANCE = 2.89

STANDARD DEVIATION = SQRT(2.89)= 1.7

Z STAT = (59.5 - 59.1)/(1.7/SQRT(160))

= 2.985

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