The mean credit card debt among households in one state is $8400. A hypothesis test is...

The mean credit card debt among households in one state is $8400. A hypothesis test is to be performed to decide whether the mean credit card debt for households in the formerly affluent town of Rich-No-More differs from the mean credit card debt for the state. The hypotheses are H0: ? = $8400 Ha: ? ? $8400 where ? is the mean credit card debt for all households in Rich-No-More. Explain the meaning of a correct decision.

A correct decision would occur if, in fact, ? = $8400, and the results of the sampling do not lead to rejection of that fact; or if, in fact, ? ? $8400 and the results of the sampling do not lead to rejection of the null hypothesis that ? = $8400.

A correct decision would occur if, in fact, ? = $8400, and the results of the sampling do not lead to rejection of that fact; or if, in fact, ? ? $8400 and the results of the sampling lead to that conclusion.

A correct decision would occur if, in fact, ? = $8400, but the results of the sampling lead to the conclusion that ? ? $8400; or if, in fact, ? ? $8400 and the results of the sampling lead to that conclusion.

A correct decision would occur if, in fact, ? ? $8400, and the results of the sampling do not lead to rejection of the null hypothesis that ? = $8400

Expert Solution

Option-B) A correct decision would occur if, in fact, ? = $8400, and the results of the sampling do not lead to rejection of that fact; or if, in fact, ? ? $8400 and the results of the sampling lead to that conclusion.

orchestra answered 2 years ago

A credit card company claims that the mean credit card debt for individuals is greater than...

A credit card company claims that the mean credit card debt for individuals is greater than $ 5 comma 300. You want to test this claim. You find that a random sample of 34 cardholders has a mean credit card balance of $ 5 comma 554 and a standard deviation of $ 650. At alpha equals 0.10?, can you support the? claim? Complete parts? (a) through? (e) below. Assume the population is normally distributed

Example 1: A credit card company claims that the mean credit card debt for individuals is...

Example 1: A credit card company claims that the mean credit card debt for individuals is greater than $5,300. You want to test this claim. You find that a random sample of 27 cardholders has a mean credit card balance of $5,560 and a standard deviation of $575. At α = 0.05, can you support the claim? Assume the population is normally distributed. Write out the hypothesis statements below and identify the parameter of interest. Ho: _________________________ Ha: _________________________ Which...

a credit card company claims that the mean credit card debt for individuals is greater than...

a credit card company claims that the mean credit card debt for individuals is greater than 4700.00 you want to test this claim. you find that a random sample of 38 cardholders has a mean credit card balance of 4873.00 and a standard deviation of 575.00 at a=0.05

Suppose that in one region of the country, the mean amount of credit card debt per...

Suppose that in one region of the country, the mean amount of credit card debt per household in households having credit card debt is $8,000, with standard deviation $1,000. Find the probability that the mean amount of credit card debt in a sample of 400 such households will be within $7,925 and $$8,100.

A credit reporting agency claims that the mean credit card debt in a town is greater...

A credit reporting agency claims that the mean credit card debt in a town is greater than $3500. A random sample of the credit card debt of 20 residents in that town has a mean credit card debt of $3619 and a standard deviation of $391. At α=0.10, can the credit agency’s claim be supported?

The average student loan debt amongst households in Oregon is $8,400. A hypothesis test is to...

The average student loan debt amongst households in Oregon is $8,400. A hypothesis test is to be performed to test whether the mean student loan debt for households in Portland, OR, is the same as the mean student loan debt for the state of Oregon. Collecting data for sample of 31 households yielded a sample mean student loan debt of $9,800 and sample std. dev. of $4,700. Use sig. level of α = 0.05. (a) State the Hypothesis to be...

hypothesis statements using symbols for Two sided hypothesis test for the mean One sided hypothesis test...

hypothesis statements using symbols for Two sided hypothesis test for the mean One sided hypothesis test for the mean Two sided hypothesis test for variance One sided hypothesis test for variance Explain what each symbol you used above stands for

In a sample of credit card holders the mean monthly value of credit card purchases was...

In a sample of credit card holders the mean monthly value of credit card purchases was $ 298 and the sample variance was 53 ($ squared). Assume that the population distribution is normal. Answer the following, rounding your answers to two decimal places where appropriate. A.) Suppose the sample results were obtained from a random sample of 13 credit card holders. Find a 95% confidence interval for the mean monthly value of credit card purchases of all card holders. B.)...

Credit Card Debt – How long will it take me to pay off my credit card...

Credit Card Debt – How long will it take me to pay off my credit card balance of $3,750? The credit card company is charging 10% interest. I can afford to pay $150/month, but would prefer to pay $100/month because I want to continue my cable service. Please show me the answer to both scenarios.

Ashley had $10,000 in credit card debt. She negotiated a settlement with the credit card company,...

Ashley had $10,000 in credit card debt. She negotiated a settlement with the credit card company, and the credit card company agreed to cancel $6,000 of the debt. If Ashley has total assets of $25,000 and total liabilities of $50,000 at the time the debt was cancelled, what amount of gross income does Ashley have as a result of the credit card company cancelling $6,000 of her debt?

Question