Assume a = 0.05 for all cases and state the final conclusion from the given info

Question

Assume a = 0.05 for all cases and state the final conclusion from the given information. Please explain why this is the correct conclusion.

a) Original claim: The mean body temperature of healthy adults is 98.6 degrees Fahrenheit. Initial conclusion: Fail to reject H0.

b) Original claim: The proportion of people who pay their credit card balance in full each month is less than 25%. Initial conclusion: Reject H0.

c) Original claim: The proportion of people who like to gamble is greater than 33%. Initial conclusion: Fail to reject H0.

Explanation / Answer

Ans:

a)Final conclusion:

There is not sufficient evidence to reject the claim that the mean body temperature of healthy adults is 98.6 degrees Fahrenheit.

b)Final conclusion:

There is sufficient evidence to support the claim that the proportion of people who pay their credit card balance in full each month is less than 25%.

c)Final conclusion:

There is not sufficient evidence to support the claim that the proportion of people who like to gamble is greater than 33%.

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