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A manager is looking at the number of sick days used by employees in a year. H0:...

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Statistics

A manager is looking at the number of sick days used byemployees in a year.

H0: the average number is 8 or below

H1: the average is over 8

We know that the standard deviation of the number of sick daysused by employees is 2, and we want to test at 10% significancelevel.

Say we took a random sample of 50 employees, and checked theirrecords, and found that the average was 8.1

The manager figures that the critical value (z-sub-0.1) is1.28.

What should be the decision?

A.

Employees are abusing their sick days

B. Reject H0

C. We have insufficient information to make a decision

D. Keep H0

Answer & Explanation Solved by verified expert
3.9 Ratings (523 Votes)
Let the hypotheses areRejection regionReject Ho if    See Answer
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