The mean score on a particular math exam is 504. A test preparation company states that the mean score of students who take its course is not equal to 504. Complete parts (a) through (d) below.
(a) Determine the null and alternative hypotheses.
(b) If sample data indicate that the null hypothesis should not be rejected, state the conclusion of the company.
(c) Suppose, in fact, that the mean score of students taking the preparatory course is 513. Has a Type I or Type II error been made? If we tested this hypothesis at the alpha=0.02 level, what is the probability of committing a Type I error?
(d) If we wanted to decrease the probability of making a Type II error, would we need to increase or decrease the level of significance?
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