Researchers claim that at most 18%

%

of high school students smoke cigarettes. A high school principal thinks the claim is too low and conducts his own survey. He samples 300 students and finds that 78 of them smoke cigarettes. He tests the claim using=0.01

=

0.01

. What is the result of his hypothesis test?

a.

The hypothesis test proves that more than 18%

%

of high school students smoke cigarettes.

b.

The hypothesis test suggests that more than 18%

%

of high school students smoke cigarettes.

c.

The hypothesis test proves that less than 18%

%

of high school students smoke cigarettes.

d.

The hypothesis test suggests that less than 18%

%

of high school students smoke cigarettes.

Suppose you are conducting a hypothesis test with

0

:25.6

H

0

:

25.6

. Given a sample size of=55

n

=

55

and a level of significance at=0.01

=

0.01

, when should you reject

0

H

0

?

Select one:

a.

Reject

0

H

0

if the z score (standardized test statistic) is less than 2.326.

b.

Reject

0

H

0

if the z score (standardized test statistic) is greater than 2.326.

c.

Reject

0

H

0

if the z score (standardized test statistic) is greater than 2.576.

d.

Reject

0

H

0

if the z score (standardized test statistic) is less than 2.576.

An insurance company states that their claim office is able to process all death claims within 5 working days. Recently there have been several complaints that it took longer than 5 days to process a claim. Top management wants to make sure that the situation is status quo and sets up a statistical test with a null hypothesis that the average time for processing a claim is not more than 5 days, and an alternative hypothesis that the average time for processing a claim is greater than 5 days. After completing the statistical test it is concluded that the average exceeds 5 days. However, it is eventually learned that the mean process time does not exceed 5 days. What type of error occurred in the statistical test?

Select one:

a.

Type I error

b.

Type II error

c.

Unable to determine without

d.

No error occurred