A consumer advocacy group is doing a large study on car rental practices. Among other things, the consumer group would like to show statistical test regarding the mean monthly mileage, of cars rented in the U.S. this year. The consumer group has reason to believe that the mean mostly mileage of cards rented in the U.S this year is greater than last year's mean, which was 2750 miles.

The group plans to show statistical test regarding the value of u. It chooses a random sample of monthly mileages and computes the mean of the sample to be 2900 miles and the standard deviation to be 850 miles.

Based on this information, answer the questions below.

(a) What are the null hypothesis (Ho) and the alternative hypothesis (H1) that should be used for the test?

H0: u is _____________( (a) less than, (b) less than or equal to, (c) greater than, (d) greater than or equal to, (e) not equal to, (f) equal to) (a) 2750 (b) 850 (c) 2900

H1: u is _____________( (a) less than, (b) less than or equal to, (c) greater than, (d) greater than or equal to, (e) not equal to, (f) equal to) (a) 2750 (b) 850 (c) 2900

(b) In the context of this text, what is a Type II error?

A. Type II error is _______( (a) rejecting, (b) failing to reject )the hypothesis that that u is _____ ( (a) less than, (b) less that or equal to, (c) greater than, (d) greater than or equal to, (e) not equal to, (f) equal to )___________((a) 2750 (b) 850 (c) 2900).

(c) Suppose that the group decides to reject the null hypothesis. What sort of error might it be making? ______ ( (a) Type I, (b) type II