In: Statistics and Probability
State whether each question is a null or alternative hypotheses, and mark the claim: A. The average income of nurses is at most $36,650. B. The average price of a cd is $25.59. C. The average electric bill for residents of White Pine Estates is smaller than $78.52 per month
Solution:
A.
Claim : The average income of nurses is at most $36,650.
This a right (One) tailed test.
The null and alternative hypothesis is,
Ho: 36650
Ha: 36650
B.
Claim : The average price of a cd is $25.59.
This is a two tailed test.
The null and alternative hypothesis is,
Ho: $25.59.
Ha: $25.59.
C.
Claim : The average electric bill for residents of White Pine Estates is smaller than $78.52 per month.
This is a left (One) tailed test,
The null and alternative hypothesis is,
Ho: $78.52
Ha: $78.52