Question

Population Standard Deviation	5.0000
Sample Size	11
Sample Mean	54.9091
Confidence Interval
Confidence Coefficient	0.98
Lower Limit
Upper Limit
Hypothesis Test
Hypothesized Value	50
Test Statistic
P-value (Lower Tail)
P-value (Upper Tail)
P-value (Two Tail)	0.0012

Sample Size	11
Sample Mean	54.9091
Sample Standard Deviation	5.5759
Confidence Interval
Confidence Coefficient	0.98
Lower Limit
Upper Limit
Hypothesis Test
Hypothesized Value	50
Test Statistic
P-value (Lower Tail)
P-value (Upper Tail)
P-value (Two Tail)	0.0154

Studies show that massage therapy has a variety of health benefits. Eleven typical one-hour massage therapy sessions were randomly selected, the amount charged for those sessions recorded, and this information put into Excel. Does the data suggest that the average charge for a typical one-hour massage therapy session is greater than $50 at α=.01? Based on this paragraph of text, use the correct excel output above to answer the following question.

For the hypothesis stated above, what is the P-value?

	a.	0.9923
	b.	0.0006
	c.	None of the answers is correct
	d.	0.0077
	e.	0.0154

Answer 1

Test statistic,
z = (xbar - mu)/(sigma/sqrt(n))
z = (54.9091 - 50)/(5/sqrt(11))
z = 3.256

P-value Approach
P-value = 0.0006