Instruction 9-4 A Drug Company Is Considering Marketing a New Local Anaesthetic

question 96

Short Answer

Instruction 9-4
A drug company is considering marketing a new local anaesthetic. The effective time of the anaesthetic the drug company is currently producing has a normal distribution with a mean of 7.4 minutes with a standard deviation of 1.2 minutes. The chemistry of the new anaesthetic is such that the effective time should be normal with the same standard deviation, but the mean effective time may be lower. If it is lower, the drug company will market the new anaesthetic; otherwise, it will continue to produce the older drug. A sample of size 36 results in a sample mean of 7.1. A hypothesis test will be done to help make the decision.
-Referring to Instruction 9-4,the p-value of the test is ________

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Definitions:

Ending Inventory

Ending inventory is the total value of all inventory, including raw materials, work-in-progress, and finished goods, that a company has at the end of its fiscal period.

Inventory Method

An inventory method is an accounting approach used to value and manage a company's stock of goods.

Lower Cost

A strategy or situation where expenses are reduced, often achieved through efficient operations, bulk purchasing, or other methods to decrease the cost base.

FIFO Inventory

An inventory valuation method that assumes the first items placed in inventory are the first sold, prioritizing older stock for cost of goods sold.