Test of hypothesis
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A furniture store claims that a specially ordered product will take on average, a mean of 42 days to arrive. The standard deviation of these waiting times is 7 days. We suspect that the special orders are taking longer than this. To test this suspicion, we track a radom sample of 80 special orders and find that the orders took a mean of 44 days to arrive. Can we conclude at the 0.01 level of significance that the mean waiting time on special orders at this furniture store exceeds 42 days?
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Solution Summary
Tests the hypothesis that the mean waiting time on special orders at the furniture store exceeds 42 days.
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Mean=M = 42 days
Standard deviation =s= 7 days
sample size=n= 80
sx=standard error of mean=s/square root of n= 0.7826 = ( 7 /square root of 80)
Significance level=alpha (a) = 0.01 or 1%
No of tails= 1
This is a 1 tailed test because we are testing ...
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