a2 Calculate the Test statistic Round your answer to 3 decim

(a-2) Calculate the Test statistic. (Round your answer to 3 decimal places.) Test statistic At the 5 percent level of significance, does this sample prove a violation of the guideline that the average patient should pay no more than $250 out-of-pocket? (a-1) H0: p $250. Choose the right option. Reject H0 if t calc 1.729 An auditor reviewed 20 oral surgery insurance claims from a particular surgical office, determining that the mean out-of-pocket patient billing above the reimbursed amount was $278.60 with a standard deviation of $78.98.

Solution

(a-1) Reject Ho if t>1.729

------------------------------------------------------------------------------------------------------------------------

(a-2)

t=(xbar-mu)/(s/vn)

=(278.6-250)/(78.98/sqrt(20))

=1.619