According to the Consumer Action Group, the Average Credit Card

question 79

Multiple Choice

According to the Consumer Action group, the average credit card interest rate in 2010 was 12.83 percent (based on a sample of 39 cards) .A researcher wanted to know if college students at her institution have different interest rates compared to this national statistic.If conducting a single-sample t test, which statement would serve as her research hypothesis?

• A) The national interest rate is higher than that of college students, on average.
• B) College students have different interest rates on average compared to the nation.
• C) The national interest rate is not different from that of college students.
• D) College students have the same interest rate as the nation.

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Definitions:

Cash Inflows

The movement of money into a business or account, often from sales, investments, financing, or other sources.

Cash Outflows

Financial transactions that involve the spending of money, leading to a decrease in the cash balance of a business.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations by dividing current assets by current liabilities.

Current Liabilities

Short-term financial obligations that a company is required to pay within one year, such as accounts payable and short-term loans.