The average cost of tuition, room and board at community colleges is reported to be $11,500 per
Year, but a ﬁnancial administrator believes that the average cost is higher. A study conducted using
150 community colleges showed that the average cost per year is $12,000 with a standard
Deviation of $1,200. Let α = 0.05.
What are the null and alternative hypotheses for this study?

Question

The average cost of tuition, room and board at community colleges is reported to be $11,500 per Year, but a ﬁnancial administrator believes that the average cost is higher. A study conducted using 150 community colleges showed that the average cost per year is $12,000 with a standard Deviation of $1,200. Let α = 0.05. What are the null and alternative hypotheses for this study? A) Null: μ ≤ $12,000; alternative: μ > $12,000 B) Null: μ ≤ $12,000; alternative: μ < $12,000 C) Null: μ ≤ $11,500; alternative: μ > $11,500 D) Null: μ ≤ $11,500; alternative: μ < $11,500

Quizplus · Accepted Answer

The Answer is C

The Average Cost of Tuition, Room and Board at Community