An oil company sends out monthly statements to its customers who purchased gasoline and other items using the company’s credit card. Until now, the company has not included a pre-addressed envelope for returning payments. The mean number of days before payment is received is 9.8. As an experiment to determine whether enclosing pre-addressed envelopes speeds up payment, 150 customers selected at random were sent pre-addressed envelopes with their bills. The sample statistics showed a mean of 9.16 days and a standard deviation of 2.642 days. Do the data provide sufficient evidence at 5% level of significance to establish that enclosure of pre-addressed envelopes improves the average speed of payments?
An oil company sends out monthly statements to its customers who purchased gasoline and other items using the company’s credit card. Until now, the company has not included a pre-addressed envelope for returning payments. The mean number of days before payment is received is 9.8. As an experiment to determine whether enclosing pre-addressed envelopes speeds up payment, 150 customers selected at random were sent pre-addressed envelopes with their bills. The sample statistics showed a mean of 9.16 days and a standard deviation of 2.642 days. Do the data provide sufficient evidence at 5% level of significance to establish that enclosure of pre-addressed envelopes improves the average speed of payments?
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