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    Testing the Hypotheses - Statistics

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    An advertisement for a particular tax preparation software package claims you can complete your taxes in less than 56 minutes. A random selection of 49 individual's tax preparation times (using the software) was collected, and their mean was calculated to be 55 minutes. It is known that the standard deviation is 4 minutes. Test the hypotheses for sections A,B and C.

    Please help with A, B and C.

    H0: ? ? 56 (should read u> with a small line under the ">")
    Ha: ? ? 56(Claim) (should read u< with a small line parallel under the "<")

    (A) Compute the test statistic.
    (B) Find the P-value of the test-statistic.
    (C) Is there enough evidence to support the claim at significance level? Why?

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    Solution Summary

    The solution tests the hypothesis for advertisement for a particular tax preparation.