Question: An auditor reviewed 25 oral surgery insurance claims from a particular surgical office, determining that the mean out-of-pocket patient billing above the reimbursed amount was $275.66 with a standard deviation of $78.11.
A.) 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?
B.) Is this a close decision?

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