Use the 5-step process for hypothesis testing as laid out in class for the following
questions:
1. An accountant for a large insurance company knows that the average office visit to
general physician is $175 with a standard deviation of $100. The accountant also has a
random sample of 100 bills for office visits from Physician X with the average office
visit being equal to $195 for this physician. Can you show whether Physician X is
overbilling his patients?
Hint: will need to use a one tailed test. Use a=.05.
