The processors of Peanut's Butter indicate on the label that the bottle contains 16 ounces of peanuts. The standard deviation of the process is 0.5 ounces. A sample of 36 bottles from the last hour's production revealed a mean weight of 16.12 ounces per bottles, at the α = 0.05 is the process out of control? That is, can we conclude that the mean amount per bottle is different from 16 ounces. Find the critical value?
We have given that,
Applying z test,
;
We know that value of at 0.05 level of significance the critical value
Hence, our calculated value is less than te absolute value of .
Therefore, Null Hypothesis is verified.
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