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Solve using the five step hypothesis testing.

The management at Black Angus is considering hiring 8 additional servers. Currently 12 servers are serving 4 tables each per hour. Servers make $11.25 on overtime per hour. Servers are having to work 2 hours of overtime per day 4 days a week. Would hiring 8 additional servers 4 days a week at $7.50 per hour working 6 hour shifts benefit the company more versus paying overtime to current servers? Solve using the five step hypothesis testing.

Solution Preview

This seems not to be a typical hypothesis testing with any statistics but then I have made a 5 steps hypothesis test.

Null hypothesis:
Hiring 8 more servers' costs the management more than or equal to make the current 12 servers to work overtime.

Alternative ...

Solution Summary

The solution solves using a five step hypothesis test.

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