posted by nouah on .
The Sledge Tire and Rubber Company plans to warranty its new mountain bike tire for 12 months. However, before it does this, the company wants to be sure that the mean lifetime of the tires is at least 18 months under normal operations. It will put the warranty in place unless the sample data strongly suggest that the lifetime of the tires is less than 18 months. The company plans to test this statistically using a random sample of tires. The test will be conducted using an alpha level of 0.03.