1. The fuel efficiency of a pick-up truck (truck) is measured in miles per gallon (mpg). A company claims that their new truck gets more than 25 mpg on average. In a random sample, of thirty-two of these trucks the mean mpg was 26.8 mpg with a standard deviation of 7.3 mpg.

 a. Conduct a hypothesis test to test the companies claim at the 5% significance level. Be sure to state you Ho and Ha, your test statistic and p-value, whether or not you reject Ho and whether you support the claim. 

b. Write a complete sentence describing what a Type I error is in context. 

c. Write a complete sentence describing what the likely consequence for a Type I would be. 

d. Write a complete sentence describing what a Type II error is in context. 

e. Write a complete sentence describing what the likely consequence for a Type II would be.

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