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Franklin Park Mall Hypothesis Testing

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The owners of the Franklin Park Mall wished to study customer shopping habits. From earlier
studies the owners are under the impression that a typical shopper spends 0.75 hours at the mall,
with a standard deviation of 0.10 hours. Recently the mall owners added some specialty restaurants designed to keep shoppers in the mall longer. The consulting firm, Brunner and Swanson Marketing Enterprises, has been hired to evaluate the effects of the restaurants. A sample of 45 shoppers by Brunner and Swanson revealed that the mean time spent in the mall had increased to 0.80 hours.
a. Develop a test of hypothesis to determine if the mean time spent in the mall is more than
0.75 hours. Use the .05 significance level.
b. Suppose the mean shopping time actually increased from 0.75 hours to 0.77 hours. What is
the probability this increase would not be detected?
c. When Brunner and Swanson reported the information in part (b) to the mall owners, the owners
were upset with the statement that a survey could not detect a change from 0.75 to 0.77
hours of shopping time. How could this probability be reduced?

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Solution Summary

Hypothesis tests concerning Franklin Park Mall. In this solution we test sample statistics to reveal the mean time spent in the shopping mall.

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  • BSc , Wuhan Univ. China
  • MA, Shandong Univ.
Recent Feedback
  • "Your solution, looks excellent. I recognize things from previous chapters. I have seen the standard deviation formula you used to get 5.154. I do understand the Central Limit Theorem needs the sample size (n) to be greater than 30, we have 100. I do understand the sample mean(s) of the population will follow a normal distribution, and that CLT states the sample mean of population is the population (mean), we have 143.74. But when and WHY do we use the standard deviation formula where you got 5.154. WHEN & Why use standard deviation of the sample mean. I don't understand, why don't we simply use the "100" I understand that standard deviation is the square root of variance. I do understand that the variance is the square of the differences of each sample data value minus the mean. But somehow, why not use 100, why use standard deviation of sample mean? Please help explain."
  • "excellent work"
  • "Thank you so much for all of your help!!! I will be posting another assignment. Please let me know (once posted), if the credits I'm offering is enough or you ! Thanks again!"
  • "Thank you"
  • "Thank you very much for your valuable time and assistance!"
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