The Mean Annual Tuition and Fees for a Sample of 11

question 87

Essay

The mean annual tuition and fees for a sample of 11 private colleges was $26,500
with a standard deviation of $6000. A dotplot shows that it is reasonable to
assume that the population is approximately normal. You wish to test whether the
mean tuition and fees for private colleges is different from $31,000. i). State the null and alternate hypotheses.
ii). Compute the value of the test statistic and state the number of degrees of freed iii). State a conclusion regarding $H _ { 0 }$ . Use the $\alpha = 0.05$ level of significance. .

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Definitions:

Variable Costs

Expenditures that adjust in relation to the business's output or operational intensity.

Fixed Expenses

Costs that do not fluctuate with the volume of sales or production levels, remaining constant even as business activities change.

Unit Selling Price

The price for which a single unit of a product is sold, excluding any discounts or allowances.

Contribution Margin

The amount of revenue from sales that exceeds variable costs, indicating how much contributes to covering fixed costs and generating profits.