Annual per capita consumption of milk is 21.6 gallons. Being from the Midwest, y

Question

Annual per capita consumption of milk is 21.6 gallons. Being from the Midwest, you believe milk consumption is higher there and wish to support your opinion by conducting a research study. A sample of 16 individuals from the Midwestern town of Webster City showed a sample mean annual consumption of 24.1 gallons with a standard deviation of s=4.8.

a. Develop a hypotheisi test that can be used to determine whether the mean annual consumption in Webster City is higher than the national mean

b. What is a point estimate of the difference between mean and annual consumption in Webster City and national mean?

c. At a = .05, test for significant difference. What is your conclusion.

Please use excel to answer.

Explanation / Answer

a) Null Hypothesis, H0: µ <= 21.6, Alternative Hypothesis, Ha: µ > 21.6

b) x1 - x2 = 24.1 - 21.6 = 2.5

c) Degree of freedom = 16 -1 = 15
t score = (x-µ)/sqrt(n) = (24.1 - 21.6)/[4.8/sqrt(16)] = 2.08333

p value : excel function -> =T.DIST.RT(2.0833, 15)
= 0.0274
At a = .05, reject null hypothesis, we have sufficient evidence to suggest the average annual consumption in Webster city is higher than the national average

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