Question 4

The marketing manager of a busy restaurant has decided to test the following hypotheses on customer ratings from a scaler of 0 – 5 in order to further improve their services.

Ho: μ ≥ 4.5

Ha: μ < 4.5

Accordingly, he surveyed 20 random customers and found the sample mean of customer satisfaction rate is 3.25.

Name of the student         Hourly rate No of work hours

Sandeep                                            20.2 320

Asha                                                   19.5 200

Babin                                                  21.5 180

Sargun                                                28.5 150

Kartik                                                  18.4 300

a) What is the value of the test statistic if the population standard deviation is 2.25?

b) What is the p-value?

c) At α =.01, what is your conclusion?

d) What is the probability that the above sample will have more than 3.5 mean customer satisfaction scale if the population data is normally distributed?