Reference no: EM131115888
Hammon Case Problem - Hypothesis Testing
THE PROBLEM:
Your friend Elizabeth is the owner of a trendy delicatessen in downtown Seattle, Washington called Zeli's Deli, which is actually stationed on a food truck. It is known for its delectable sandwiches. One of the most popular is The Zelda which is served with a mountain of home fries and special Zim sauce. The deli serves primarily professional clientele downtown such as accountants and attorneys who have demanding schedules and require prompt lunch service. Though the deli focuses on unique and high quality sandwiches, they also advertise fast service during the primary lunch hours of 11:00 - 1:00.
There is some question as to whether the population mean waiting time to place an order has changed in the past month from its previous population mean value of 4.5 minutes. Elizabeth wants to ensure Zeli's Deli is still meeting the ad's claim and satisfying her clientele with low wait times. She knows you are taking a business statistics class and are really good at it, and has asked you to help her find the answer.
Because you are good at stats you feel confident that you can help your friend. So the following Monday you go downtown to visit Zeli's Deli during the busy lunch time and randomly select a sample of 25 orders during a one-hour period. The sample mean is 5.1 minutes. Assume the population is normally distributed and has population standard deviation of 1.2 minutes. Complete the requirements section and be sure to address all questions listed below. (Hint this is a two-tailed test.)
You may use either the classical or p-value approach. There is no need to present both in your result. Either approach should yield the same result.
REQUIREMENTS:
Step 1: In your own words write a sentence describing the question/problem to test.
Step 2: State the null and alternative hypotheses.
Step 3: Use 0.05 for the alpha level of significance.
Step 4: Compute the Z statistic.
Step 5: Interpret your results using either the classical or p-value approach. What are your findings? How confident are you?
Step 6: Properly state your decision regarding the null and alternative hypotheses.
Step 7: Draw a curve showing your findings.
|
Analyze key facts in your research and examine key issues
: Prepare a summary of the research findings from the research study, interpret the results, and render a conclusion that should be presented to the stakeholders/constituents associated with the research.
|
|
How could the system be improved
: The media often attempts to predict the outcome of national elections. Why are they often wrong? Based on the concepts presented in this module's readings, how could the system be improved?
|
|
How a persons memory could be altered
: In what ways might your knowledge of memory errors affect your use of this testimony? Explain.
|
|
What is the value of a preferred stock
: What is the value of a preferred stock that promises to pay a perpetual dividend of $125 at the end of each year when the interest rate is %5? In which direction would you move the interest rate you use to evaluate this net present value if the co..
|
|
Hammon case problem-hypothesis testing
: Your friend Elizabeth is the owner of a trendy delicatessen in downtown Seattle, Washington called Zeli's Deli, which is actually stationed on a food truck.
|
|
Us blue chips has a new project that will increase earning
: Pacific Energy Company has a new project that will generate additional earnings of $100,000 each year in perpetuity. Calculate the new PE ratio of the company. c. U.S. Blue chips has a new project that will increase earnings by $200,000 in perpetui..
|
|
What were the main themes and concepts of the reading
: What were the main themes and concepts of the reading - How did the author engage with those themes to bring out cultural differences and the importance of thinking about the cultural context behind those concepts and themes?
|
|
Difference between a secured creditor and a general creditor
: Explain the difference between a secured creditor and a general creditor. Explain how a non-recourse loan for capital to invest in a business limits a sole proprietor's personal liability
|
|
Tax court''s holding will reduce the total tax she pays
: Emma, the sole shareholder of Quail Corporation (a C corporation), has the corporation pay her a salary of $300,000 in 2008. The Tax Court has held that $80,000 represents unreasonable compensation. Assuming Emma is in the 35% bracket in 2011, the Ta..
|