Monthly food expenditures for families in rodriguez rizal averaged php6,500 with
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n=7xˉ=n∑x=736=5.14285714s2=n−1∑x2−n(∑(x))2=6220−185.142857=5.8095s=s2=5.8095=2.4103
The hypotheses are,
The test statistic is,
The critical value is,
The null hypothesis is rejected if,
Since , the null hypothesis is not rejected. Therefore, we can conclude that there is no sufficient evidence to show that the average family size is more than the national average at 1% level of significance.