Solution) Marylou’s head mechanic, Augie Grimes, has been worried about the troop’s budget for gasoline. Recen


Question: Marylou’s head mechanic, Augie Grimes, has been worried about the troop’s budget for gasoline. Recently Marylou told Augie, “Augie, they’re at it again in Tallahassee, they’re going cut our gasoline budget by 10 percent next year. You’ve got to do something to get us better gas mileage.” Augie knows that his vehicles now get 16.5 miles per gallon. But, he heard that there is this new gasoline additive, “Extendo Gas” that promises an additional 10 percent more mileage per gallon. Augie buys a few cases of the stuff and tries it out for a few weeks in 22 cars in his troop’s fleet. He finds that after the study the average gas mileage for the “Extendo cars” is 17.7 miles per gallon, with a standard deviation of 1.45. Using a 0.05 level of significance, does the evidence support the claim of the Extendo Gas Additive Company and solve Marylou’s problem?

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