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    Statistics - Hypothesis Testing

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    An auditor reviewed 25 oral surgery insurance claims from a particular surgical office, determining that the mean out-of-pocket patient billing above the reimbursed amount was $275.66 with a standard deviation of $78.11.

    (a) At the 5 percent level of significance, does this sample prove a violation of the guideline that the average patient should pay no more than $250 out-of-pocket?
    State your hypotheses and decision rule.

    (b) Is this a close decision?

    © BrainMass Inc. brainmass.com June 3, 2020, 9:37 pm ad1c9bdddf
    https://brainmass.com/statistics/hypothesis-testing/191370

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