Additional Information and Full Hypothesis Test Examples · Exercise 16

For each of the word problems, use a solution sheet to do the hypothesis test. The solution sheet is found in. Please feel free to make copies of the solution sheets. For the online version of the book, it is suggested that you copy the.doc or the.pdf files.

The cost of a daily newspaper varies from city to city. However, the variation among prices remains steady with a standard deviation of 20¢. A study was done to test the claim that the mean cost of a daily newspaper is $1.00. Twelve costs yield a mean cost of 95¢ with a standard deviation of 18¢. Do the data support the claim at the 1% level?

This is an open-ended exercise: its source gives no single answer.

OpenStax, Introductory Statistics 2e · §9.5 Additional Information and Full Hypothesis Test Examples · Exercise 16