Suppose we wish to test H0 75 vs H1 75 Further suppose t

Suppose we wish to test H0: ? = 75 vs. H1: ? ? 75. Further suppose that we use a 5% significance level and a sample size of 64. If the population standard deviation is 24, what are the critical values of x-bar for the decision rule?

27.96 and 122.04

70.065 and 79.935

69.12 and 80.88

-1.96 and +1.96

Solution

It is a two-tailed test.

Given a=0.05, the critical values are Z(0.025) = -1.96 or 1.96 (from standard normal table)

Answer: D -1.96 and +1.96