Formulate the Indicated Conclusion in Nontechnical Terms

question 102

Multiple Choice

Formulate the indicated conclusion in nontechnical terms. Be sure to address the original claim.
-A cereal company claims that the mean weight of the cereal in its packets is at least 14 oz. Assuming that a hypothesis test to reject this claim has been conducted and that the conclusion is to reject the null hypothesis,
State the conclusion in nontechnical terms.

• A) There is not sufficient evidence to warrant rejection of the claim that the mean weight is at least 14 oz.
• B) There is sufficient evidence to warrant rejection of the claim that the mean weight is less than 14 oz.
• C) There is sufficient evidence to warrant rejection of the claim that the mean weight is at least 14 oz.
• D) There is not sufficient evidence to warrant rejection of the claim that the mean weight is less than 14 oz.

---

Definitions:

Market Price

The rate at present for engaging in buy or sell activities for a service or asset.

Preferred Stock

A class of ownership in a corporation with a fixed dividend that is paid out before dividends to common stockholders.

Preemptive Rights

A shareholder's right to buy new shares issued by a company in proportion to their existing shareholding, before the shares are offered to the public.

Stock Purchase

The act of buying shares in a company, giving the purchaser a portion of ownership in that company.