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Weight Reducers International: Determine the p-value

A new weight-watching company, Weight Reducers International, advertises that those who join will lose, on average, 10 pounds the first two weeks with a standard deviation of 2.8 pounds. A random sample of 50 people who joined the new Weight reduction program revealed the mean loss to be 9 pounds. At the .05 level of significance, can we conclude that those joining Weight Reducers on average will lose less than 10 pounds? Determine the p-value.

Solution Summary

The solution provides a step by step method for the calculation of testing of hypotheses. Formula for the calculation and interpretations of the results are also included. An interactive excel sheet is included. The user can edit the inputs and obtain the complete results for a new set of data.