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(a) determine the null and alternative
Chapter 6, Problem 1RE(choose chapter or problem)
(a) determine the null and alternative hypotheses
(b) explain what it would mean to make a Type I error
(c) explain what it would mean to make a Type II error
(d) state the conclusion that would be reached if the null hypothesis is not rejected, and
(e) state the conclusion that would be reached if the null hypothesis is rejected.
Credit-Card Debt According to creditcard.com, the mean outstanding credit-card debt of college undergraduates was $3173 in 2010. A researcher believes that this amount has decreased since then.
Questions & Answers
QUESTION:
(a) determine the null and alternative hypotheses
(b) explain what it would mean to make a Type I error
(c) explain what it would mean to make a Type II error
(d) state the conclusion that would be reached if the null hypothesis is not rejected, and
(e) state the conclusion that would be reached if the null hypothesis is rejected.
Credit-Card Debt According to creditcard.com, the mean outstanding credit-card debt of college undergraduates was $3173 in 2010. A researcher believes that this amount has decreased since then.
ANSWER:Answer:
Step 1
(a) The Hypotheses can be written as
H0: 3173 against
H1: < 3173 (left tailed test)
(b) If we reject the null hypothesis and the mean credit card debt of college undergraduates is not less than 3173, then it is a Type I error.