Answer:
We reject the null hypothesis.
Step-by-step explanation:
We are given the following information in the question:
Sample size, n = 71
Population variance is known.
Level of significance, α = 0.08
[tex]z_{\text{stat}} = 1.56[/tex]
The null and alternate hypothesis are:
[tex]H_{0}: \mu = 20\\H_A: \mu > 20[/tex]
We use one-tailed z test to perform this hypothesis.
Formula:
[tex]z_{stat} = \displaystyle\frac{\bar{x} - \mu}{\frac{\sigma}{\sqrt{n}} } = 1.56[/tex]
Now, [tex]z_{critical} \text{ at 0.08 level of significance } = 1.41[/tex]
Since,
[tex]z_{stat} > z_{critical}[/tex]
We fail to accept the null hypothesis and reject it and accept the alternate hypothesis.