In the past, a chemical plant has produced an average of

Chapter 10, Problem 120SE

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In the past, a chemical plant has produced an average of 1100 pounds of chemical per day. The records for the past year, based on 260 operating days, show the following:

                 \(\bar{y}=1060 \text { pounds/day.s }=340 \text { pounds/day }\)

We wish to test whether the average daily production has dropped significantly over the past year.

a Give the appropriate null and alternative hypotheses.

b If  is used as a test statistic, determine the rejection region corresponding to a level of significance of \(\alpha=05\).

c Do the data provide sufficient evidence to indicate a drop in average daily production?

Equation transcription:

Text transcription:

bar{y}=1060{ pounds/day.s }=340{ pounds/day }

alpha=05