A Pizza Chain Is Considering Opening a New Store in an Area

question 22

Multiple Choice

A pizza chain is considering opening a new store in an area that currently does not have any such stores.The chain will open if there is evidence that more than 5,000 of the20,000 households in the area have a favorable view of its brand.It conducts a telephone poll of 300 randomly selected households in the area and finds that 96 have a favorable view.State the test of hypothesis that is of interest to the pizza chain.

• A)\(H _ { 0 } : \pi \leq 0.32 \text { versus } H _ { 1 } : \pi > 0.32\)
• B)\(H _ { 0 } : \pi \leq 0.25 \text { versus } H _ { 1 } : \pi > 0.25\)
• C)\(H _ { 0 } : \pi \leq 5,000 \text { versus } H _ { 1 } : \pi > 5,000\)
• D)\(H _ { 0 } : \boldsymbol { \mu } \leq 5,000 \text { versus } H _ { 1 } : \boldsymbol { \mu } > 5,000\)

---

Definitions:

Developing Nation

A term used to describe a country with a relatively low level of industrial and economic development.

Economies of Scale

Cost advantages that entities obtain due to their scale of operation, leading to a reduction in per-unit cost as production increases.

Nation-State

An independent political unit with specific boundaries, a stable population, governance structures, and the ability to engage in diplomatic relations with other political entities.

Just Cause

A criterion under the just war theory, which states that to be morally permissible, a war must be waged only for honorable motives.