The Manager of a Local Specialty Store Is Concerned with a Possible

Short Answer

The manager of a local specialty store is concerned with a possible slowdown in payments by her customers. She measures the rate of payment in terms of the average number of days receivables are outstanding. Generally, the store has maintained an average of 50 days. A random sample of 25 accounts gives an average of 54 days outstanding with a standard deviation of 8 days. Calculate the appropriate test statistic to apply the critical value rule.