(See Solution) You earned another new customer account with Wainwright Lawn and Garden Company. Marketing manager Bill Williams believes that the average
Question: You earned another new customer account with Wainwright Lawn and Garden Company. Marketing manager Bill Williams believes that the average income for the company’s customers is less than $30,000.00. Williams made this claim to defend his selection of brands aimed at lower-income customers. To verify the claim, he took a simple random sample of 400 customers and conducted a survey to determine their income levels. The assumption is that σ = $4,000. The significance level is 0.10. If the actual mean income is $29,800, determine the probability that the test will mistakenly lead the managers to "accept" the null hypothesis.
- Specify the null and alternative hypotheses
- Calculate the critical value Zc
- Compute the test statistic.
- Determine Beta.
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