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The Majoring in Money study by Sallie Mae from December 2015 showed that most college students manage their credit cards in a reasonable way. It showed that almost​ two-thirds of students pay their credit card balance in full every month and 25​% of students who own credit cards make partial payments that exceed the minimum amount due. You are curious to find out if credit card payment behavior of students has changed since 2015 and collect data from a random sample of 370 students. You find that 71 students are making partial payments on their credit cards that exceed the minimum amount due. Using α=0.01​, complete parts a and b below.

The Majoring in Money study by Sallie Mae from December 2015 showed that most college students manage their credit cards in a reasonable way. It showed that almost​ two-thirds of students pay their credit card balance in full every month and 25​% of students who own credit cards make partial payments that exceed the minimum amount due. You are curious to find out if credit card payment behavior of students has changed since 2015 and collect data from a random sample of 370 students. You find that 71 students are making partial payments on their credit cards that exceed the minimum amount due. Using α=0.01​, complete parts a and b below.

MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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The Majoring in Money study by Sallie Mae from December 2015 showed that most college students manage their credit cards in a reasonable way. It showed that almost​ two-thirds of students pay their credit card balance in full every month and

25​%

of students who own credit cards make partial payments that exceed the minimum amount due. You are curious to find out if credit card payment behavior of students has changed since 2015 and collect data from a random sample of

370

students. You find that

71

students are making partial payments on their credit cards that exceed the minimum amount due. Using

α=0.01​,

complete parts a and b below.

**The Majoring in Money Study Analysis** The Majoring in Money study conducted by Sallie Mae in December 2015 revealed insights into college students' credit card management habits. According to the study, nearly two-thirds of students fully pay off their credit card balances each month, while 25% make partial payments exceeding the minimum amount due. As part of a research initiative to explore changes in students' credit card payment behavior since 2015, data was collected from a random sample of 370 students. Notably, 71 students were found to make partial payments on their credit cards that exceed the minimum required. **Research Question:** Does this sample provide support for the hypothesis that the proportion of students who make partial payments exceeding the minimum amount has decreased since 2015? **Hypothesis Testing:** Determine the null and alternative hypotheses and select the correct answer. - **Option A:** - \( H_0: p = 0.25 \) - \( H_1: p \neq 0.25 \) - **Option B:** - \( H_0: p > 0.25 \) - \( H_1: p \leq 0.25 \) - **Option C:** - \( H_0: p \geq 0.25 \) - \( H_1: p < 0.25 \) - **Option D:** - \( H_0: p \leq 0.25 \) - \( H_1: p > 0.25 \) Choose the most appropriate hypothesis to assess the change in behavior regarding credit card payments among college students.
Transcribed Image Text:**The Majoring in Money Study Analysis** The Majoring in Money study conducted by Sallie Mae in December 2015 revealed insights into college students' credit card management habits. According to the study, nearly two-thirds of students fully pay off their credit card balances each month, while 25% make partial payments exceeding the minimum amount due. As part of a research initiative to explore changes in students' credit card payment behavior since 2015, data was collected from a random sample of 370 students. Notably, 71 students were found to make partial payments on their credit cards that exceed the minimum required. **Research Question:** Does this sample provide support for the hypothesis that the proportion of students who make partial payments exceeding the minimum amount has decreased since 2015? **Hypothesis Testing:** Determine the null and alternative hypotheses and select the correct answer. - **Option A:** - \( H_0: p = 0.25 \) - \( H_1: p \neq 0.25 \) - **Option B:** - \( H_0: p > 0.25 \) - \( H_1: p \leq 0.25 \) - **Option C:** - \( H_0: p \geq 0.25 \) - \( H_1: p < 0.25 \) - **Option D:** - \( H_0: p \leq 0.25 \) - \( H_1: p > 0.25 \) Choose the most appropriate hypothesis to assess the change in behavior regarding credit card payments among college students.
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