Question

John is managing a new branch of Edible arrangement. It is believed that the number of satisfied customers affect the average sale. John had 26% of dissatisfied customers for the last 10 years with and average sale of $52,000 a week and a population standard deviation of 3200.

Few years ago, John created a new gift item is believed to improve satisfaction. in the last 49 weeks, John tried the new item and found 752 customers happy out of 915. His average sale for these 49 weeks was $53,150

Using traditional method test the claim that the new gift item lead to happier customers at 10% significance level

Using the p-value method, test the claim that average sale did increase, at 6% significance level

How would your answer change if the given standard deviation was for the sample of 49 weeks instead of the population

Answer 1