Q1) Student believes that no more than 20% of students who finish statistics course get A. A random sample of 100 students was taken. 24 percent of students in the sample received A's.

a) Mention the null and alternate hypothesis.  

b) Using a critical value, test hypothesis at the 1% level of significance.

c) What conclusion can you draw concerning the proportion of students receiving A's in course?   

Q2) Average gasoline price of one of the major oil companies has been $1.00 per gallon. Since shortages in production of crude oil, it is believed that there has been a significant increase in the average price. In order to test this belief, we randomly selected a sample of 36 of the company's gas stations and determined that average price for stations in sample was $1.10. Suppose that standard deviation of population (s) is $0.12.

a) Mention the null and alternate hypothesis.

b) Test claim that prices have increased at the 5% significance level?

c) What conclusion can you draw about price of gasoline based on this test?