Final answer:
To test the claim that the mean amount charged by all people with credit cards is greater than $1300, we will conduct a hypothesis test. We will use the sample mean, the population standard deviation, and the significance level to determine if there is enough evidence to support the claim.
Step-by-step explanation:
To test the claim that the mean amount charged by all people with credit cards is greater than $1300, we will conduct a hypothesis test. We will use the sample mean, the population standard deviation, and the significance level to determine if there is enough evidence to support the claim.
Hypotheses:
Null Hypothesis (H0): μ ≤ $1300
Alternative Hypothesis (Ha): μ > $1300
The test statistic for this hypothesis test is a t-score, which can be calculated using the formula:
t = (sample mean - hypothesized mean) / (sample standard deviation / sqrt(sample size))
Once we calculate the t-score, we can compare it to the critical t-value to determine if we reject or fail to reject the null hypothesis.