What are range, index of qualitative variation (IQV), interquartile range (IQR), standard deviation, and variance
1 answer:
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Answer: 0
Step-by-step explanation:
Let be the average room price.
By considering the given problem , we have
Since alternative hypothesis two-tailed , so the test is a two-tailed test.
Also, the population standard deviation is known to be $16, so we perform z-test.
The test statistic (z) is calculated and it is 1.74.
P-value = 2P(Z>|z|) = 2P(Z>1.74)
=2(1-P(Z≤1.74)) [∵ P(Z>z)=1-P(Z≤z)]
=2(1- 0.9591) [By z-table]
=0.0818
Decision : Since P-value (0.0818) < Significance level (0.1), so we reject null hypothesis.
We conclude that the average price of hotel rooms in Atlanta is significantly different from $110 at 0.1 level of significance.
It means the given conclusion is wrong.
Hence, the correct option is 0.