SCENARIO 9-5 A Bank Tests the Null Hypothesis That the Mean Age

question 122

Multiple Choice

SCENARIO 9-5
A bank tests the null hypothesis that the mean age of the bank's mortgage holders is less than or equal
to 45 years, versus an alternative that the mean age is greater than 45 years.They take a sample and
calculate a p-value of 0.0202.
-Referring to Scenario 9-5, if the same sample was used to test the opposite one-tail test, what
Would be that test's p-value?

• A) 0.0202
• B) 0.0404
• C) 0.9596
• D) 0.9798

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Definitions:

Automobile Manufacturer

A company engaged in the designing, production, marketing, and selling of motor vehicles.

Sample

A subset of individuals or observations selected from a larger population, used to infer or make predictions about the population.

Poisson Distribution

A probability distribution that measures the probability of a given number of events happening in a fixed interval of time or space when these events occur with a known constant mean rate and independently of the time since the last event.

P-Value Approach

A method in statistical hypothesis testing that uses the calculated probability to determine the significance of the observed data.