Quant Memo
Statistics/●●●●●

Do the light bulbs fall short of 1000 hours?

A manufacturer rates its bulbs at a mean life of 1000 hours. The production standard deviation is known to be σ=40\sigma = 40 hours. A consumer lab burns 100 bulbs to failure and records a mean life of 989 hours.

Test at the 5% level (two-sided) whether the true mean life differs from the 1000-hour rating, and report the z-statistic.

Your answer

More Statistics questions