Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. The Department of Transportation would like to test the hypothesis that the average age of cars on the road is less than 10 years.

1. The Department of Transportation would like to test the hypothesis that the average age of cars on the road is less than 10 years. A random sample of 50 cars had an average age of 9.5 years. It is believed that the population standard deviation for the age of cars is 3.4 years. The Department of Transportation would like to set = 0.10. The conclusion for this hypothesis test would be that because the test statistic is

A. more than the critical value, we can conclude that the average age of cars on the road is less than 10 years.

B. more than the critical value, we cannot conclude that the average age of cars on the road is less than 10 years.

C. less than the critical value, we can conclude that the average age of cars on the road is less than 10 years.

D. ess than the critical value, we cannot conclude that the average age of cars on the road is less than 10 years.

2. The p-value for a hypothesis test is defined as the probability of observing a

A. critical value at least as extreme as the one selected for the hypothesis test, assuming the null hypothesis is true.

B. critical value at least as extreme as the one selected for the hypothesis test, assuming the null hypothesis is false.

C. sample mean at least as extreme as the one selected for the hypothesis test, assuming the null hypothesis is true.

D. population mean at least as extreme as the one selected for the hypothesis test, assuming the alternative hypothesis is true.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The ACT Guide To Ethical Conflicts In Finance

Authors: Andreas Prindl, Bimal Prodhan

1st Edition

1855732564, 978-1855732568

More Books

Students also viewed these Finance questions

Question

Identify the times when people are mostand leastlikely to help.

Answered: 1 week ago

Question

The nature and importance of the global marketplace.

Answered: 1 week ago