In order to determine the average price of hotel rooms in Atlanta, a sample of 64 hotels was selected. It was determined that the average price of the rooms in the sample was $108.50 with a standard deviation of $16

a. Formulate the hypotheses to determine whether or not the average room price is significantly different from $112.
b. Compute the test statistic.
c. Using the p-value approach, test the hypotheses. Let ? = .1.


a. H0: ? = $112
Ha: ? ? $112
b. t = -1.75
c. p-value is between .05 and .1; therefore, reject H0

Business

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