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Information from AAA indicates that the mean age of passenger cars in the US is 8.4 years. A sample of 40 cars in the student lots at the local university showed the mean age to be 9.2 years. The standard deviation of this sample was 2.8 years. At the .01 significance level can we conclude the mean age is more than 8.4 years for the cars of university students?
a. Compute the value of the test statistic.
b. What is your decision regarding the null hypothesis?
c. Interpret your decision from part e in a single sentence.
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