Test at the 0

question 81

Multiple Choice

Test at the 0.01 level the statement that 55% of those families who plan to purchase a vacation
Residence in Florida want a condominium. The null hypothesis is p = 0.55 and the alternate is p ≠
0) 55. A random sample of 400 families who planned to buy a vacation residence revealed that 228
Families want a condominium. What decision should be made regarding the null hypothesis?

• A) Do not reject it
• B) Reject it
• C) Cannot accept nor reject it based on the information given

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Definitions:

Inaccurate Estimates

Faulty calculations or judgments about the magnitude or frequency of a particular event or phenomenon.

Short Run

A time period in economic analysis during which at least one input is fixed, affecting the operation of firms and markets.

Farms

Land and the buildings on it used for the cultivation of crops and rearing of animals to produce food, wool, and other products.

Price

The cost needed to buy a product or service, usually set by the interplay of supply and demand.