Average price of a new car


A car company claims that average price of a new car is less than $11,800 with a standard deviation of $700. You feel that the average price is more than the company claims so you check the price stickers on 32 cars and find the average price is $12,200. At x=0.01, there is sufficient evidence to reject the null hypothesis, H,0:u is less than or equal to $11,800. True or False?

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Basic Statistics: Average price of a new car
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