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One sample Z test

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The mean employee turn over at Ms. Jameelah's employment of 280 employees hired for the different new position each year is 20 with standard deviation of 4.6. It is now assumed that because of the down turn in the economy, the turn over has decreased to less than 20 in average. A random sample of 90 employees from 280 total showed turnover of 12 employees in average so far. Should we reject the null hypothesis that the population mean is 20? Use significance level of 0.08 to construct the 5 step hypothesis test.

Need help writing the hypothesis formula.

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Solution Preview

Please see the attachments for explanation.

The null hypothesis tested is
H0: The mean employee turn over=20
H1: The mean employee turn over<20
The test statistic used is
Significance level  ...

Solution Summary

The solution provides step by step method for the calculation of one sample z test . Formula for the calculation and Interpretations of the results are also included. Interactive excel sheet is included. The user can edit the inputs and obtain the complete results for a new set of data.