Question

An egg packing company has stated that the standard deviation of the weights of their grade A large eggs is 0.07 ounces or less. The sample variance for 51 eggs was 0.0065 ounces. Can this sample result confirm the company's claim? Use = 0.1. What is the value of the test statistic?

Select one:

A. 43.67

B. 54.32

C. 60.76

D. 66.33

E. None of the above answers is correct

Answer 1

Our Ho: Variance is less than or equal to 0.0049(0.07*0.07)

H1: Variance is greater than 0.0049

We will use the Chi-Square test of variance for this:

The test statistic is:

T- (N 1)(s/oo)

Here N = 51,
0,0065
  
s2 = 0.00650"-0.0049

T = 50 * (0.0065/0.0049)

= 66.33

2tabulated- 63.17

We see that

2 tobulated = 63.17 < Xcal culated = 66.33

We can reject H0. Hence this sample doesn't verify the company claim.

Answer: D