Write the Hypotheses $H _ { 0 } : \mu = 77$

question 11

Short Answer

Write the hypotheses.
-Insurance companies track life expectancy information to assist in determining the
Cost of life insurance policies. Last year the average life expectancy of all policyholders
Was 77 years. ABI Insurance wants to determine if their clients now have a longer life
Expectancy, on average, so they randomly sample some of their recently paid policies.
The insurance company will only change their premium structure if there is evidence that
People who buy their policies are living longer than before. The correct null and
Alternative hypotheses are A. $H _ { 0 } : \mu = 77$ and $H _ { A } : \mu > 77$
B. $H _ { 0 } : \mu = 77$ and $H _ { A } : \mu < 77$
C. $H _ { 0 } : \mu = 77$ and $H _ { A } : \mu \neq 77$
D. $H _ { 0 } : p = 77$ and $H _ { A } : p > 77$
E. $H _ { 0 } : p = 15$ and $H _ { A } : p < 77$

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Definitions:

Investment Decisions

The process of making choices about where to allocate resources and capital in order to achieve the highest returns.

Multidimensional Performance

An approach to performance measurement that considers various aspects such as financial, operational, and people metrics to assess the overall effectiveness and efficiency.

Balanced Scorecard

An integrated set of performance measures that are derived from and support the organization’s strategy.

Commercial Businesses

Enterprises engaged in commercial, industrial, or professional activities with the aim of earning profits.