Chapter 11.1, Problem 25E

In Exercises 25–28, use a right-tailed test and (a) identify the claim and state H₀ and H_a, (b) find the critical value, (c) find the test statistic, (d) decide whether to reject or fail to reject the null hypothesis, and (e) interpret the decision in the context of the original claim.

25. Weekly Earnings A labor organization claims that the median weekly earnings of female workers is less than or equal to $765. To test this claim, you randomly select 50 female workers and ask each to provide her weekly earnings. The table shows the results. At a = 0.01, can you reject the organization’s claim? (Adapted from U.S. Bureau of Labor Statistics)

Weekly earnings	Number of workers
Less than $765	18
$765	3
More then $765	29

TABLE FOR EXERCISE 25