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Solution
16.
As alpha = 0.01, and df = n - 1 = 23, then the critical values, by table/technology, are
chi^2(crit) = 9.260424776 and 44.18127525 [ANSWER, A]
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17.
Formulating the null and alternative hypotheses,
Ho: sigma <= 0.059160798
Ha: sigma > 0.059160798
As we can see, this is a right tailed test.
Thus, getting the critical chi^2, as alpha = 0.01 ,
alpha = 0.01
df = N - 1 = 23
chi^2 (crit) = 41.63839812
Getting the test statistic, as
s = sample standard deviation = 0.077459667
sigmao = hypothesized standard deviation = 0.059160798
n = sample size = 24
Thus, chi^2 = (N - 1)(s/sigmao)^2 = 39.42857143
As chi^2 < chi^2(crit), then we FAIL TO REJECT THE NULL HYPOTHESIS.
Hence, it is OPTION C. [ANSWER]
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