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6 years ago
Bastien, Inc has been manufacturing small automobiles that have averaged 50 miles per gallon of gasoline in highway driving. The company has developed a more efficient engine for its small cars and now advertises that its new small cars average more than 50 miles per gallon in highway driving. An independent testing service road-tested 36 of the automobiles. The sample showed an average of 51.5 miles per gallon. The population standard deviation is 6 miles per gallon.
 a. With a .05 level of significance, test to determine whether or not the manufacturer's advertising campaign is legitimate.
 b. What is the p-value associated with the sample results?
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6 years ago
a . H0:   50
Ha:  > 50 z = 1.5, therefore, do not reject H0 . There is not sufficient evidence at  = .05 to conclude that the new cars average more than 50 miles per gallon.
b. .0668
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