Insurance adjusters are concerned about the high estimates they are receiving from Jocko’s Garage. To see if the estimates are u
nreasonably high, each of 10 damaged cars was taken to Jocko’s and to a trusted garage and the estimates recorded. Here are the results:
Jocko's: 500,1550,1250,1300,750,1000,1210,1300,800,2500
Other: 430,1500,1300,1280,780,870,1120,1140,650,2290
Use the test of hypothesis procedure to investigate the allegation that Jocko’s Garage over-charges for the car repairs. State the null and alternative hypotheses (H0 and Ha) in a sentence and also using proper Greek symbol(s) for the parameter(s). Show the test statistic calculations with degrees of freedom, and the P-value etc. Use significance level value of 5%. State your conclusion in simple language.