Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

e mark manager for an automobile manufacturer is interest passengers from wners

ID: 3348519 • Letter: E

Question

e mark manager for an automobile manufacturer is interest passengers from wners proportion of new compact-car owners who would have purcbel bag if it had been available for an additional cost of $300.he 200 new cons, If yo om o information that the proportion is 0.30. Suppose that a surveydle air baifferent selected and 79 indicate that they would have purchascd thioroportion is conduct a test to determine whether there is evidence that the which test would you use? tthe20 erbs the of 200 neir bags. it from a passenger-side inflatable compact-car owners is If you were to the inflata a. Z-test of a population mean b. Z-test of a population proportion C. 1-test of population mean d. -test of population variance 5. An auletermine whe owed is $83.40 with a sample st 2. A manager of the credit department for an oil company wos7s. An audito rample stat here average monthly balance of credit card holders is eqa sample of 100 accounts and finds that the average o deviation of $23.65. If you wanted to test whether the audbi tes evidence that the average balance is different from $75, which or an oil company would like to determine or sclec should conclude that there is would you use a. Z-test of a population mean b. Z-test of a population proportion test Of DOPoPeowes d. -test of population variance estorPopulaaioneant83.4tlhe Which of the following would be an appropriate null hypothesis 3. a. The population proportion is less than 0.65 b. The sample proportion is less than 0.65. c. The population proportion is no less than 0.65 d. The sample proportion is no less than 0.65.

Explanation / Answer

1. We should use the Z-test of a population proportion (option B), since the parameter of interest as explicitly mentioned in problem, is the proportion of car owners who wuld have purchased a passenger side inflatable air bag if it had been available for an additional cost of $300

2. We should use the t-test of population mean (option C), since we are measuring the mean value, using a finite sample drawn from a population (mentioned as 100). With sampling from a population, we use theStudent's t-test instead of the Z-test.

3. Option B is correct. First and foremost, we don't talk of population parameters in hypotheses statements, hence options A and C are outright rejected. Next, in nullhypothesis we don't have negation statements (no less than). Hence Option B is appropriate.