Question
A manager of the credit department for an oil company would like to determine whether the mean monthly balance of credit card holders is equal
A manager of the credit department for an oil company would like to determine whether the mean monthly balance of credit card holders is equal to $75. An auditor selects a random sample of 100 accounts and finds that the mean owed is $83.40 with a sample standard deviation of $23.65. If you wanted to test whether the mean balance is different from $75 and decided to reject the null hypothesis, what conclusion could you reach?
Select one:
a. There is evidence that the mean balance is not $75.
b. There is evidence that the mean balance is $75.
Step by Step Solution
3.50 Rating (153 Votes )
There are 3 Steps involved in it
Step: 1
Here as n 100 we will use z statistic...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Document Format ( 2 attachments)
6099bbdd8d408_29975.pdf
180 KBs PDF File
6099bbdd8d408_29975.docx
120 KBs Word File
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started