If an economist wishes to determine whether there is evidence that average famil

Question

If an economist wishes to determine whether there is evidence that average family income in a community exceeds $25,000 A. either a one-tailed or two-tailed test could be used with equivalent results. B. a one-tailed test should be utilized. C. a two-tailed test should be utilized. D. None of the above. If the p value is less than alpha in a two-tailed test, A. the null hypothesis should not be rejected. B. the null hypothesis should be rejected. C. a one-tailed test should be used. D. no conclusion should be reached. How many Kleenex should the Kimberly Clark Corporation package of tissues contain? Researchers determined that 60 tissues is the average number of tissues used during a cold. Suppose a random sample of 100 Kleenex users yielded the following data on the number of tissues used during cold: X = 52, s = 22. Using the sample information provided, calculate the value of the test statistic. A. t = (52 - 60)/22 B. t = (52 - 60)/(22/100) C. t = (52 - 60)/(22/100^2) D. t = (52 - 60)/(22/10) The owner of a local nightclub has recently surveyed a random sample of n = 250 customers of the club. She would now like to determine whether or not the mean age of her customers is over 30. If so, she plans to alter the entertainment to appeal to an older crowd. If not, no entertainment changes will be made. Suppose she found that the sample mean was 30.45 years and the sample standard deviation was 5 years. What is the p value associated with the test statistic? A. 0.3577 B. 0.1423 C. 0.0778 D. 0.02 E. None of the above

Explanation / Answer

1. Since we ate comparing if the income exceeds a particular amount, option B is correct
2. When P value is less than alpha, you reject the null hypothesis. So answer is B
3. T is given by option D
4. Correct answer can be found by solving (30.45-30)/(5/sqrt(250)) option A

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