A credit reporting agency claims that the mean credit card debt by state is greater than $5500
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A credit reporting agency claims that the mean credit card debt by state is greater than $5500 per person. You want to test this claim. You find that a random sample of 30 states has a mean credit card debt of $5594 per person and a standard deviation of $597 per person. At α = 0.05, can you support the claim?
(a) Identify the claim and state H0 and Ha,
(b) Find the critical value(s) and identify the rejection region(s),
(c) Find the standardized test statistic t,
(d) Decide whether to reject or fail to reject the null hypothesis, and
(e) Interpret the decision in the context of the original claim. Assume the population is normally distributed.
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Related Book For
Elementary Statistics Picturing The World
ISBN: 9780134683416
7th Edition
Authors: Ron Larson, Betsy Farber
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