Many Franchisers Favor Owners Who Operate Multiple Stores by Providing

Many franchisers favor owners who operate multiple stores by providing them with preferential treatment. Suppose the Small Business Administration would like to perform a hypothesis test to investigate if 80% of franchisees own only one location using α = 0.05. A random sample of 120 franchisees found that 85 owned only one store. Which one of the following statements is true?

A) Because the p- value is greater than α, we fail to reject the null hypothesis and cannot conclude that the proportion of franchisees that own only one store does not equal 0.80.
B) Because the p- value is greater than α, we fail to reject the null hypothesis and conclude that the proportion of franchisees that own only one store equals 0.80.
C) Because the p- value is less than α, we reject the null hypothesis and conclude that the proportion of franchisees that own only one store does not equal 0.80.
D) Because the p- value is less than α, we fail to reject the null hypothesis and cannot conclude that the proportion of franchisees that own only one store does not equal 0.80.