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Math Help - 99% Confident Level

  1. #1
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    Question 99% Confident Level

    I have gotten some basics from this question, but cannot think of the formula to match it. Too much information and I am lost.. PLEASE HELP!!!!

    At the time she was hired as a server at the Grumney Family restaurant, Beth Brigden was told, “You can average more than $20 a day in tips.” Over the first 35 days she was employed at the restaurant, the mean daily amount of her tips was $24,85, with a standard deviation of $3.24. Can Ms. Brigden be 99% confident that she is earning an average of more than $20 per day in tips?

    Mean: $24.85
    Standard Deviation: $3.24
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  2. #2
    MHF Contributor matheagle's Avatar
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    I would do a one sided hypothesis test where H_0:\mu=20 vs. H_a:\mu >20.
    If you want to do a CI instead, it should be a one-sided CI.
    This is a simple t-test with n-1=34 degrees of freedom.
    The test stat is {\bar X-20\over s/\sqrt{35}}
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