An insurance company hypothesizes that the insurance claims requested by its customers come from a distribution with a mean of 8000 TL with a standard deviation of 1000 TL. What conclusion can we draw if the average of 64 randomly chosen claims turns out to be 8500 TL? A ) As 8500 is outside the 95% acceptance interval, we reject the hypothesis. B ) As 8000 is inside a 95% confidence interval, we cannot reject the hypothesis. C ) As 8500 is outside a 95% confidence interval, we reject the hypothesis. D ) None of the above. E ) As 8000 is inside the 95% acceptance interval, we cannot reject the
An insurance company hypothesizes that the insurance claims requested by its customers come from a distribution with a mean of 8000 TL with a standard deviation of 1000 TL. What conclusion can we draw if the average of 64 randomly chosen claims turns out to be 8500 TL? A ) As 8500 is outside the 95% acceptance interval, we reject the hypothesis. B ) As 8000 is inside a 95% confidence interval, we cannot reject the hypothesis. C ) As 8500 is outside a 95% confidence interval, we reject the hypothesis. D ) None of the above. E ) As 8000 is inside the 95% acceptance interval, we cannot reject the
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
Related questions
Topic Video
Question
An insurance company hypothesizes that the insurance claims requested by its customers come from a distribution with a mean of 8000 TL with a standard deviation of 1000 TL. What conclusion can we draw if the average of 64 randomly chosen claims turns out to be 8500 TL?
A ) As 8500 is outside the 95% acceptance interval, we reject the hypothesis.
B ) As 8000 is inside a 95% confidence interval, we cannot reject the hypothesis.
C ) As 8500 is outside a 95% confidence interval, we reject the hypothesis.
D ) None of the above.
E ) As 8000 is inside the 95% acceptance interval, we cannot reject the hypothesis.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.Recommended textbooks for you
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman