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SCENARIO 9-4
A drug company is considering marketing a new local anesthetic.The effective time of the anesthetic
the drug company is currently producing has a normal distribution with an mean of 7.4 minutes with a
standard deviation of 1.2 minutes.The chemistry of the new anesthetic is such that the effective time
should be normally distributed with the same standard deviation, but the mean effective time may be
lower.If it is lower, the drug company will market the new anesthetic; otherwise, they will continue
to produce the older one.A sample of size 36 results in a sample mean of 7.1.A hypothesis test will
be done to help make the decision.
-True or False: Referring to Scenario 9-4, if the level of significance had been chosen as 0.05,
the company would market the new anesthetic.
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