The Owner of a Local Nightclub Has Recently Surveyed a Random

question 122

Multiple Choice

The owner of a local nightclub has recently surveyed a random sample of n = 250 customers of the club. She would now like to determine whether or not the mean age of her customers is greater than 30. If so, she plans to alter the entertainment to appeal to an older crowd. If not, no entertainment changes will be made. If she wants to have a level of significance at 0.01, what rejection region should she use?

• A) Reject H₀ if t < -2.3263.
• B) Reject H₀ if t < -2.5758.
• C) Reject H₀ if t > 2.3263.
• D) Reject H₀ if t > 2.5758.

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Definitions:

Inflation Rate

The swift rise in the average pricing of goods and services, resulting in the erosion of purchasing capabilities.

CPI

The Consumer Price Index represents a method for tracking the average weighted cost of various consumer goods and services, which is utilized to assess inflation levels.

Inflation Rate

The percentage increase in the price level of goods and services in an economy over a period of time, indicating how prices are rising on average.

Consumer Price Index

A measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care, often used to indicate inflation.