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According to an IT journal, the average payback period for IT purchases for midsize businesses is 3.8 years. A random sample of forty medium-sized companies
According to an IT journal, the average payback period for IT purchases for midsize businesses is 3.8 years. A random sample of forty medium-sized companies led to the following results: Average payback period: 4.1 years Standard deviation: 1.4 years. The following assertion is made as a counter-hypothesis: the average recovery period for IT purchases is greater than that specified by the IT review. a) Specify in statistical form the hypotheses you want to test. b) Specify the decision rule, for a significance level of 10%. c) Perform the statistical test and indicate which hypothesis is favored at the 10% significance level. Explain
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