Question

Suppose that BC financial aid allots a textbook stipend by claiming that the average textbook at BC bookstore costs $ 95.76. You want to test this claim. The null and alternative hypothesis in symbols would be:

H 0 : μ = 95.76 H 1 : μ ≠ 95.76 H 0 : μ ≥ 95.76 H 1 : μ < 95.76 H 0 : p ≥ 95.76 H 1 : p < 95.76 H 0 : μ ≤ 95.76 H 1 : μ > 95.76 H 0 : p = 95.76 H 1 : p ≠ 95.76 H 0 : p ≤ 95.76 H 1 : p > 95.76

The null hypothesis in words would be: The average price of textbooks in a sample is $ 95.76 The average price of all textbooks from the store is $ 95.76 The proportion of all textbooks from the store that are less than 95.76 is equal to 50% The average of price of all textbooks from the store is greater than $ 95.76. The average of price of all textbooks from the store is less than $ 95.76.

Based on a sample of 170 textbooks at the store, you find an average of 91.56 and a standard deviation of 14.2.

The point estimate is: (to 3 decimals)

The 90 % confidence interval (use z*) is: to (to 3 decimals)

Based on this we:

Fail to reject the null hypothesis

OR

Reject the null hypothesis

Answer 1