An automobile manufacturer claims that their van has a 40.3 miles/gallon (MPG) rating. An independent testing firm has been contracted to test the MPG for this van. After testing 250 vans they found a mean MPG of 40.1. Assume the standard deviation is known to be 2.4. Is there sufficient evidence at the 0.02 level that the vans underperform the manufacturer's MPG rating?
a. State the null and alternative hypotheses.
b. Find the value of the test statistic.
c. Find the P-value of the test statistic.
d. Identify the level of significance for the hypothesis test.
e. Make the decision to reject or fail to reject the null hypothesis.
