I. HYPOTHESIS TESTING Directions: Answer the given problems by following the steps of hypothesis testing. You will be graded for every correct answer in the steps of hypothesis testing. (The steps are shown below) STEP 1: State the null and alternative hypothesis STEP 2: Determine the level of significance and sample size STEP 3: Determine the appropriate test statistic to be used STEP 4: Determine the critical value STEP 5: Compute for the statistical value STEP 6: Decision (Reject or Fail to reject the null hypothesis) STEP 7: Conclusion 1. A fruit juice franchise company has a policy of opening new fruit juice stand only on those areas that have a mean household income of at least P30,500 a month. The company is currently considering an area in which to open a new fruit juice stand. The company's research department took a sample of 25 households from this area and found that the mean monthly income and standard deviation of these households is P32,600 and P4550, respectively. Using 5% significance level, would you conclude that the company should open a fruit juice stand in the area