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# Mean Mileage

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The manufacturer of the X-15 steel-belted radial truck tire claims that the mean mileage the tire
can be driven before the tread wears out is 60,000 miles. The standard deviation of the mileage is
5,000 miles. The Crosset Truck Company bought 48 tires and found that the mean mileage for
their trucks is 59,500 miles.
(a) State the null hypothesis and the alternate hypothesis. (b) State the decision
rule. (c) Compute the value of the test statistic. (d) What is your decision regarding H0?
(e) What is the p-value? Interpret it.
Is Crosset's experience different from that claimed by the manufacturer
at the .05 significance level?

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#### Solution Summary

The manufacturer of the X-15 steel-belted radial truck tire claims that the mean mileage the tire can be driven before the tread wears out is 60,000 miles. The standard deviation of the mileage is 5,000 miles. The Crosset Truck Company bought 48 tires and found that the mean mileage for their trucks is 59,500 miles.

(a) State the null hypothesis and the alternate hypothesis. (b) State the decision rule. (c) Compute the value of the test statistic. (d) What is your decision regarding H0? (e) What is the p-value? Interpret it.

Is Crosset's experience different from that claimed by the manufacturer at the .05 significance level?

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