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A study is performed in San Antonio to determine whether the average weekly grocery bill per five-person family in the town is significantly different from the national average. A random sample of 50 five-person families in San Antonio showed a mean of $133.474 and a standard deviation of $11.193. Assume that the national average weekly grocery bill for a five-person family is $131.
1. What are the hypotheses?
2. Is the sample evidence statistically significant? If so, at what significance levels can you reject the null hypothesis?
3. For what values of the sample mean (i.e., average weekly grocery bill) would you decide to reject the null hypothesis at the α = 0.01 significance level?
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