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Level of Significance for Z and T Tests

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A new weight-watching company advertises that those who join will lose, on average, 10 lbs. the first two weeks. A random sample of 50 people who joined revealed the mean loss to be 9 lbs. with a standard deviation of 2.8 lbs. At the .05 level of significance, can we conclude that those joining on average will lose less than 10 lbs.?
a) Is this a Z or T test?
b) Test statistic =?
c) Critical value =?
d) P-value =?
e) Reject Ho: (yes or no)

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Solution Summary

The level of significance of Z and t tests are analyzed. The P-value and critical value are determined.

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4. A new weight-watching company advertises that those who join will lose, on average, 10 lbs. the first two weeks. A random sample of 50 people who joined revealed the mean ...

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