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Can you help me? A health insurer suspects that the average fee charges by one particular clinic for a medical procedure is higher than $

Can you help me?

A health insurer suspects that the average fee charges by one particular clinic for a medical procedure is higher than $ 1200. The insurer wants to [perform a hypothesis test to determine whether there suspicion is correct.

Ho: u <= $1200

Ha: u >$ 1200

Suppose that the test will be conducted at 5% significance level, and the insurer plans to randomly sample 50 bills from the clinic. What changes to the test can the insurer make to reduce the likelihood of committing a Type I error and Type II error?

Answers:

a. Increase the significance level to 10%

b.Lower the significance level to 1% and reduce the sample size to 36

c. Lower the significance level to 1% while also reducing the population standard deviation

d. Increase thee significance level to 10%, while keeping the sample size fixed at 50

e. Lower the significance level to 1% and increase the sample size to 200

f. Increase the significance level to 10% and lower the sample size to 36

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