Explore BrainMass

Explore BrainMass

    Tip Standard Deviation

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    At the time she was hired as a server at a restaurant, Beth was told she could average more than $20.00 a day in tips. Over the first 35 days she was employed, the mean daily amount of her tips was $24.85, with a standard deviation of $3.24. At the .01 significance level, can Beth conclude that she is earning an average of more than $20.00 in tips?

    © BrainMass Inc. brainmass.com March 4, 2021, 5:43 pm ad1c9bdddf
    https://brainmass.com/statistics/dispersion-and-spread-of-data/tip-standard-deviation-8002

    Solution Preview

    N (number of samples) = 35
    <br>s (sample standard deviation ) = $3.24
    <br>m (sample mean) = $24.85
    <br>
    <br>X is the random variable that describes tips earened in a day,
    <br>u is the mean of X and
    <br>
    <br>We want to test the null hypothesis H0 : u = 20.00
    <br>against ...

    Solution Summary

    At the time she was hired as a server at a restaurant, Beth was told she could average more than $20.00 a day in tips. Over the first 35 days she was employed, the mean daily amount of her tips was $24.85, with a standard deviation of $3.24. At the .01 significance level, can Beth conclude that she is earning an average of more than $20.00 in tips?

    $2.49

    ADVERTISEMENT