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Statistics - Hypothesis test for the Population Mean

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Citrus Rental is a popular car rental agency that has a history of having too few cars so that its available cars are overdriven. The mean monthly mileage over the years .... (Please see the attached file)

https://brainmass.com/statistics/hypothesis-testing/statistics-hypothesis-test-population-mean-229055

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H0: The mean mileage of the cars is 1550 miles, that is m = 1550

Ha: The mean mileage is less than 1550 miles, that is m < 1550

Lower-tailed t- test for a population mean; a = 0.10

t = (x-bar - m)/(s/sqrt n) = (1472 - 1550)/(213/sqrt 22) = -1.7176

Degrees of freedom = 22 - 1 = 21

For 21 degrees of freedom and for a = 0.10, the p- value for t = -1.7176 is 0.0503

Since 0.0503 < 0.10, we reject H0 and accept H1

Conclusion: The mean mileage appears to have reduced and is less than 1550 miles.

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