Exhibit: Costco Customers. Customers at Costco spend an average of $130 per trip ( The Wall Street Journal , October 6, 2010).

Exhibit: Costco Customers.

Customers at Costco spend an average of $130 per trip (The Wall Street Journal, October 6, 2010). One of Costco's rivals would like to determine whether Costco's customers spend more per trip. A survey of the receipts of 25 customers found that the sample mean was $135.25. Assume that the population standard deviation of spending is $10.50 and the spending follows a normal distribution (use the significance level 0.07).

Round your solutions for this Exhibit to 4 digits.

Question 26

1 pts

Refer to the Exhibit Costco Customers.

Provide the null and the alternative hypotheses.

Question 27

0.5 pts

Refer to the Exhibit Costco Customers.

Compute the test statistic.

Question 28

1 pts

Refer to the Exhibit Costco Customers.

Calculate the p-value for the test.

Question 29

1 pts

Refer to the Exhibit Costco Customers.

State your conclusion for the test using the p-value.

A. p-value < 0.07, so we cannot reject Ho. Therefore, there is not enough evidence to conclude that Costco's customers spend more than $130 per trip.

B. p-value < 0.07, so we reject Ho. Therefore, there is not enough evidence to conclude that Costco's customers spend more than $130 per trip.

C. p-value < 0.07, so we cannot reject Ho. Therefore, there is enough evidence to conclude that Costco's customers spend more than $130 per trip.

D. p-value < 0.07, so we reject Ho. Therefore, there is enough evidence to conclude that Costco's customers spend more than $130 per trip.