Question 1 (1 point)
Suppose the national average dollar amount for an automobile
insurance claim is $746.9. You work for an agency in Michigan and
you are interested in whether or not the state average is different
from the national average. Treating the national mean as the
historical value, What are the appropriate hypotheses for this
test?
Question 1 options:

1)

H_{O}: μ ≤ 746.9
H_{A}: μ > 746.9 


2)

H_{O}: μ > 746.9
H_{A}: μ ≤ 746.9 


3)

H_{O}: μ ≥ 746.9
H_{A}: μ < 746.9 


4)

H_{O}: μ = 746.9
H_{A}: μ ≠ 746.9 


5)

H_{O}: μ ≠ 746.9
H_{A}: μ = 746.9 

Question 2 (1 point)
It is reported in USA Today that the average flight cost
nationwide is $487.499. You have never paid close to that amount
and you want to perform a hypothesis test that the true average is
actually different from $487.499. The hypotheses for this situation
are as follows: Null Hypothesis: μ = 487.499, Alternative
Hypothesis: μ ≠ 487.499. A random sample of 39 flights shows an
average cost of $506.29 with a standard deviation of $87.9709. What
is the test statistic and pvalue for this test?
Question 2 options:

1)

Test Statistic: 1.334, PValue: 0.9049 


2)

Test Statistic: 1.334, PValue: 0.1902 


3)

Test Statistic: 1.334, PValue: 1.9049 


4)

Test Statistic: 1.334, PValue: 0.0951 


5)

Test Statistic: 1.334, PValue: 0.1902 

Question 3 (1 point)
A medical researcher wants to determine if the average hospital
stay after a certain procedure is different from 14.37 days. The
hypotheses for this scenario are as follows: Null Hypothesis: μ =
14.37, Alternative Hypothesis: μ ≠ 14.37. If the researcher
randomly samples 26 patients that underwent the procedure and
determines their average hospital stay was 13.16 days with a
standard deviation of 5.19 days, what is the test statistic and
pvalue of this test?
Question 3 options:

1)

Test Statistic: 1.189, PValue: 1.8772 


2)

Test Statistic: 1.189, PValue: 0.8772 


3)

Test Statistic: 1.189, PValue: 0.12285 


4)

Test Statistic: 1.189, PValue: 0.2457 


5)

Test Statistic: 1.189, PValue: 0.2457 

Question 4 (1 point)
In the year 2000, the average car had a fuel economy of 20.25
MPG. You are curious as to whether this average is different from
today. The hypotheses for this scenario are as follows: Null
Hypothesis: μ = 20.25, Alternative Hypothesis: μ ≠ 20.25. You
perform a one sample mean hypothesis test on a random sample of
data and observe a pvalue of 1e04. What is the appropriate
conclusion? Conclude at the 5% level of significance.
Question 4 options:

1)

The true average fuel economy today is significantly less than
20.25 MPG. 


2)

The true average fuel economy today is equal to 20.25 MPG. 


3)

We did not find enough evidence to say a significant difference
exists between the true average fuel economy today and 20.25
MPG. 


4)

The true average fuel economy today is significantly greater
than 20.25 MPG. 


5)

The true average fuel economy today is significantly different
from 20.25 MPG. 

Question 5 (1 point)
Suppose the national average dollar amount for an automobile
insurance claim is $959.61. You work for an agency in Michigan and
you are interested in whether or not the state average is less than
the national average. The hypotheses for this scenario are as
follows: Null Hypothesis: μ ≥ 959.61, Alternative Hypothesis: μ
< 959.61. You take a random sample of claims and calculate a
pvalue of 0.0257 based on the data, what is the appropriate
conclusion? Conclude at the 5% level of significance.
Question 5 options:

1)

The true average claim amount is significantly different from
$959.61. 


2)

The true average claim amount is higher than or equal to
$959.61. 


3)

We did not find enough evidence to say the true average claim
amount is less than $959.61. 


4)

The true average claim amount is significantly less than
$959.61. 


5)

The true average claim amount is significantly higher than
$959.61. 
