Question

Suppose U.S. consumers 21 years and older consumed 26.8 gallons of beer and cider per person during 2017. A distributor in Milwaukee believes that beer and cider consumption are higher in that city. A sample of consumers 21 years and older in Milwaukee will be taken, and the sample mean 2017 beer and cider consumption will be used to test the following null and alternative hypotheses: Horus 26.8 Hu > 26.8

Assume the sample data led to rejection of the null hypothesis. What would be your conclusion about consumption of beer and cider in Milwaukee?
a) Conclude that the population mean annual consumption of beer and cider in Milwaukee is less than or equal to 26.8 gallons and hence lower than throughout the United States.
b) Conclude that the population mean annual consumption of beer and cider in Milwaukee is greater than 26.8 gallons and hence lower than throughout the United States.
c) Conclude that the population mean annual consumption of beer and cider in Milwaukee is less than or equal to 26.8 gallons and hence higher than throughout the United States.
d) Conclude that the population mean annual consumption of beer and cider in Milwaukee is greater than 26.8 gallons and hence higher than throughout the United States.

Answer 1

d) Conclude that the population mean annual consumption of beer and cider in Milwaukee is greater than 26.8 gallons and hence higher than throughout the United States.

Explanation:

We have a hypothesis test about the true mean consumptionof beer and cider for U.S. 21+ years-old consumers with the following null and alternative hypothesis:

`H_0: \mu=26.8\\\\H_a:\mu> 26.8`

The result of the test is to reject the null hypothesis.

This means that there is evidence to support the claim that beer and cider consumption was higher than the national average in Milwaukee in 2017 .