Question

A recent gasoline survey said that the national average price of gasoline was $1.298 a gallon. It was felt that gasoline price in Texas was significantly lower than the national average. A study of 37 different suburbs in Dallas, Texas, found the average price of gasoline to be $1.192 a gallon with a standard deviation of $0.0436. What is the alternative hypothesis

Answer 1

alternative hypothesis : H₁ :

Recent Gasoline surveys felt that gasoline price in Texas was significantly lower than the national average

Alternative Hypothesis : H₁: μ < $1.298 a gallon

Explanation:

Explanation:-

Given A recent gasoline survey said that the national average price of gasoline was $1.298 a gallon

Population average μ= $1.298 a gallon

sample size 'n' = 37

Sample mean (x⁻) = $1.192 a gallon

Sample standard deviation 'S' = $0.0436

Null hypothesis :H₀ : μ = $1.298 a gallon

Alternative Hypothesis : μ < $1.298 a gallon

Degrees of freedom : ν = n-1= 37-1=36

t₀.₀₂₅ = 1.688

Test statistic

`t = (x^(-)-mean )/((S)/(√(n) ) )`

`t = (1.192-1.298 )/((0.0436)/(√(37) ) )`

t = -14.8044

|t| = |-14.8044| > 1.688

Null hypothesis is rejected

Alternative hypothesis is accepted

Recent Gasoline surveys felt that gasoline price in Texas was significantly lower than the national average