A research article claims that the mean cost of raising a child from birth to age 2 in a rural area is $10,460. You believe this value is incorrect, so you select a random sample of 900 children and find the mean cost is $10,345 with a standard deviation of $1520. Is there enough evidence to conclude that the mean cost is different from $10,460 at 5% level of significance? a. Which of the following statistical tests is most appropriate in this scenario? O Two-Tailed Z-Test O One-Tailed Z-Test O Two-Tailed T-Test O One-Tailed T-Test b. What are the appropriate hypotheses for the test? O Họ : µ = $10460 H1 : 4 + $10460 O Ho : u+ $10460 H, : µ = $10460 O Ho : u = $10460 H, : µ > $10460 O Ho : u = $10460 H, : µ < $10460 C. After conducting the appropriate significance test, the test statistic was found to be -2.24. Therefore, the conclusion for the test is: O Reject Ho, because p-value is less than 0.05 O Fail to reject Ho, because -2.24 falls outside the critical region

A First Course in Probability (10th Edition)
10th Edition
ISBN:9780134753119
Author:Sheldon Ross
Publisher:Sheldon Ross
Chapter1: Combinatorial Analysis
Section: Chapter Questions
Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...
icon
Related questions
Question
need the correct solves asap plz choose the right answer only
A research article claims that the mean cost of raising a child from birth to age 2 in a rural area is $10,460. You believe this value is incorrect, so you select
a random sample of 900 children and find the mean cost is $10,345 with a standard deviation of $1520. Is there enough evidence to conclude that the
mean cost is different from $10,460 at 5% level of significance?
a. Which of the following statistical tests is most appropriate in this scenario?
O Two-Tailed Z-Test
O One-Tailed Z-Test
O Two-Tailed T-Test
O One-Tailed T-Test
b. What are the appropriate hypotheses for the test?
Ho : µ = $10460 H, : µ + $10460
O Ho : µ + $10460 H1 : µ = $10460
O Ho : µ = $10460 H : µ> $10460
O Ho : µ = $10460 H, : µ < $10460
C. After conducting the appropriate significance test, the test statistic was found to be -2.24.
Therefore, the conclusion for the test is:
Reject Ho, because p-value is less than 0.05
O Fail to reject Ho, because -2.24 falls outside the critical region
O Reject H, because -2.24 falls within the critical region
O Fail to reject Ho, because p-value is less than 0.05
Transcribed Image Text:A research article claims that the mean cost of raising a child from birth to age 2 in a rural area is $10,460. You believe this value is incorrect, so you select a random sample of 900 children and find the mean cost is $10,345 with a standard deviation of $1520. Is there enough evidence to conclude that the mean cost is different from $10,460 at 5% level of significance? a. Which of the following statistical tests is most appropriate in this scenario? O Two-Tailed Z-Test O One-Tailed Z-Test O Two-Tailed T-Test O One-Tailed T-Test b. What are the appropriate hypotheses for the test? Ho : µ = $10460 H, : µ + $10460 O Ho : µ + $10460 H1 : µ = $10460 O Ho : µ = $10460 H : µ> $10460 O Ho : µ = $10460 H, : µ < $10460 C. After conducting the appropriate significance test, the test statistic was found to be -2.24. Therefore, the conclusion for the test is: Reject Ho, because p-value is less than 0.05 O Fail to reject Ho, because -2.24 falls outside the critical region O Reject H, because -2.24 falls within the critical region O Fail to reject Ho, because p-value is less than 0.05
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps

Blurred answer
Recommended textbooks for you
A First Course in Probability (10th Edition)
A First Course in Probability (10th Edition)
Probability
ISBN:
9780134753119
Author:
Sheldon Ross
Publisher:
PEARSON
A First Course in Probability
A First Course in Probability
Probability
ISBN:
9780321794772
Author:
Sheldon Ross
Publisher:
PEARSON