An auditor reviewed 25 oral surgery claims...?

Question

An auditor reviewed 25 oral surgery insurance claims from a particular surgical office, determining

that the mean out-of-pocket patient billing above the reimbursed amount was $275.66 with a

standard deviation of $78.11. (a) At the 5 percent level of significance, does this sample prove a

violation of the guideline that the average patient should pay no more than $250 out-of-pocket?

State your hypotheses and decision rule. (b) Is this a close decision?

Answer 1

We answer questions for two points.

This is a tough question for someone who is not enthused with math.  Would you please consider re-posting this in the section for Mathematics?  Or even Homework Help?

To comply with Yahoo rules, my answer for (a) is 'No'.

For the others, you need someone who knows what that big word means.