1.Build a 95% confidence interval for the population mean wage rate. Show your work, explain your choices.
2.TestH0
that the population mean wage rate is $32/hr, at a 5% significance level. Show your work, explain your choices.
3.Given your work in question (2) above, would you be correct to say, “There is sufficient evidence to conclude that the population mean wage rate is below $32/hr?” Explain why or why not.
Extracted text: Some critical values you may want to use: ta, df, is the value such that probability P(t > ta, df) = a, where t is a variable that follows a Student's t-distribution with d.f. degrees of freedom: to.025, 7 = 2.365; to.025, 8 = 2.306; to.05,7 = 1.895; to.05, 8 = 1.860; to.10, 7 = 1.415; to.10, 8 = 1.397. Za is the value such that probability P(Z > Za) = a, where Z is a variable that follows a standard normal distribution: Zo.025 = 1.960; Zo.05 = 1.645; Z0.1= 1.282. A researcher went out and collected a random sample of 8 individual wage rates from a population that is known to be normally distributed. The wage rates in the sample were: $16/hr, $21/hr, $22/hr, $29/hr, $25/hr, $24/hr, $23/hr, $24/hr.