6 **Hypothesis Testing for Average Closing Costs**A recent publication states that the average closing cost for purchasing a new home is $7635. A real estate agent believes that the average closing cost is less than $7635. She selects 42 new home purchases and finds that the average closing costs are $7297. The population standard deviation is $447. Help her decide if she is correct by testing her claim at $\alpha = 0.01$.---**The correct hypotheses would be:**- $ H_0: \mu \leq 7635 $- $ H_A: \mu < 7635 $ (claim)- $ H_0: \mu \geq 7635 $- $ H_A: \mu < 7635 $ (claim)- $ H_0: \mu = 7635 $- $ H_A: \mu \neq 7635 $ (claim)---**Since the level of significance is 0.01 the critical value is -2.326****The test statistic is:** [______] (round to 3 places)**The p-value is:** [______] (round to 3 places)---**The decision can be made to:**- reject $ H_0 $- do not reject $ H_0 $---**The final conclusion is that:**- There is enough evidence to reject the claim that the average closing cost is less than $7635.- There is not enough evidence to reject the claim that the average closing cost is less than $7635.- There is enough evidence to support the claim that the average closing cost is less than $7635.- There is not enough evidence to support the claim that the average closing cost is less than $7635.

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Description: 6 **Hypothesis Testing for Average Closing Costs**A recent publication states that the average closing cost for purchasing a new home is $7635. A real estate agent believes that the average closing cost is less than $7635. She selects 42 new home pur

Hello! As you have posted more than 3 sub parts, we are answering the first 3 sub-parts. In case you require the unanswered parts also, kindly re-post that parts separately. Claim of the problem: The average closing cost is less than $7635. Null Hypothesis: H0:μ≥7635 Alternative Hypothesis: H1:μ<7635 Correct option:Test statistic: Given information: μ=7635x¯=7297σ=447n=42 z=x¯-μσn=7297-763544742=-4.900 p value: p=P(z<test statistic) =P(z<-4.900) =0.000 from the excel function, =NORM.DIST(-4.9,0,1,TRUE)

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A recent publication states that the average closing cost for purchasing a new home is $7635. A real esta agent believes that the average closing cost is less than $7635. She selects 42 new home purchases and finds that the average closing costs are $7297. The population standard deviation of $447. Help her decio if she is correct by testing her claim at a=0.01. The correct hypotheses would be: Ho: µ < $7635 HA: µ > $7635 (claim) Ho: µ > $7635

A recent publication states that the average closing cost for purchasing a new home is $7635. A real esta agent believes that the average closing cost is less than $7635. She selects 42 new home purchases and finds that the average closing costs are $7297. The population standard deviation of $447. Help her decio if she is correct by testing her claim at a=0.01. The correct hypotheses would be: Ho: µ < $7635 HA: µ > $7635 (claim) Ho: µ > $7635

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**Hypothesis Testing for Average Closing Costs**

A recent publication states that the average closing cost for purchasing a new home is $7635. A real estate agent believes that the average closing cost is less than $7635. She selects 42 new home purchases and finds that the average closing costs are $7297. The population standard deviation is $447. Help her decide if she is correct by testing her claim at $\alpha = 0.01$.

---

**The correct hypotheses would be:**

- $ H_0: \mu \leq 7635 $
- $ H_A: \mu < 7635 $ (claim)

- $ H_0: \mu \geq 7635 $
- $ H_A: \mu < 7635 $ (claim)

- $ H_0: \mu = 7635 $
- $ H_A: \mu \neq 7635 $ (claim)

---

**Since the level of significance is 0.01 the critical value is -2.326**

**The test statistic is:** [______] (round to 3 places)

**The p-value is:** [______] (round to 3 places)

---

**The decision can be made to:**

- reject $ H_0 $
- do not reject $ H_0 $

---

**The final conclusion is that:**

- There is enough evidence to reject the claim that the average closing cost is less than $7635.
- There is not enough evidence to reject the claim that the average closing cost is less than $7635.
- There is enough evidence to support the claim that the average closing cost is less than $7635.
- There is not enough evidence to support the claim that the average closing cost is less than $7635.

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