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Amazon has as a target an order fill rate of 97% or more (fill rate is the percentage of complete orders shipped). The management of the Arizona warehouse believes its making that target. A sample of 25 orders resulted on a mean fill rate of 96.5%. The known standard deviation for fill rate is 1.5%.

a) Develop the null and alternative hypothesis.

b) What is the p-value?

c) At a = 0.05 what is your conclusion?

d) At a = 0.01 what is your conclusion?

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