(Solved): Is the following hypothesis test correct? If not why? Hypothesis Testing Review - Error Analysis ...

Is the following hypothesis test correct? If not why?

Hypothesis Testing Review - Error Analysis CNN/Money reports that the mean cost of a speeding ticket, including court fees, was $\$150.00$ in 2002. A local police department claims that this amount has increased. To test their claim, they collect data from a simple random sample of 160 drivers who have been fined for speeding in the last year, and find that they paid a mean of $\$154.00$ per ticket. Assuming that the population standard deviation is $\$17.54$, is there sufficient evidence to support the police department's claim at the 0.01 level of significance? ${\mathrm{H}}_{\mathrm{o}}:?=150.00$ ${\mathrm{H}}_1:?>150.00$ (Right-Tailed Test) $t=\frac{\stackrel{?}{x}??}{\left(\frac{?}{\sqrt{n}}\right)}t=\frac{154?150}{\left(\frac{17.54}{\sqrt{160}}\right)}=2.88=$ Test Statistic Critical Value: invT(.01, 159): 2.35 p-value: .0022 You can find this on the calculator $.0020<0.01$ Reject the Null Conclusion: At the 0.01 level of significance the evidence supports the police department's claim that the mean cost of a speeding ticked has increased (i.e. there is sufficient evidence).