At the time she was hired as a server at the Grumney Family Restaurant, Beth Bri

Question

At the time she was hired as a server at the Grumney Family Restaurant, Beth Brigden was told, “You can average $76 a day in tips.” Assume the population of daily tips is normally distributed with a standard deviation of $3.35. Over the first 38 days she was employed at the restaurant, the mean daily amount of her tips was $79.58. At the 0.10 significance level, can Ms. Brigden conclude that her daily tips average more than $76?

c. Compute the value of the test statistic. (Round your answer to 2 decimal places.)

Value of the test statistic_______

What is the p-value? (Round your answer to 4 decimal places.)

p-value_________

What is the p-value? (Round your answer to 4 decimal places.)

p-value_________

Explanation / Answer

Set Up Hypothesis
Null Hypothesis H0: U=76
Alternate Hypothesis H1: U>76
Test Statistic
Population Mean(U)=76
Given That X(Mean)=79.58
Standard Deviation(S.D)=3.35
Number (n)=38
we use Test Statistic (Z) = x-U/(s.d/Sqrt(n))
Zo=79.58-76/(3.35/Sqrt(38)
Zo =6.5876
| Zo | =6.5876
Critical Value
The Value of |Z | at LOS 0.1% is 1.28
We got |Zo| =6.5876 & | Z | =1.28
Make Decision
Hence Value of | Zo | > | Z | and Here we Reject Ho
P-Value : Right Tail - Ha : ( P > 6.5876 ) = 0
Hence Value of P0.1 > 0, Here we Reject Ho

P-Value : 0

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