A spouse suspects that the average amount of money spent on Christmas gifts for immediate family members is above $1,200.The correct set of hypotheses is: A)H₀: μ = 1200 vs.H₁: μ 1200 vs.H₁: μ = 1200 C)H₀: μ = 1200 vs.H₁: μ 1200 D)H₀: μ

Question

A spouse suspects that the average amount of money spent on Christmas gifts for immediate family members is above $1,200.The correct set of hypotheses is: A)H₀: μ = 1200 vs.H₁: μ < 1200 B)H₀: μ > 1200 vs.H₁: μ = 1200 C)H₀: μ = 1200 vs.H₁: μ > 1200 D)H₀: μ < 1200 vs.H₁: μ = 1200

Quizplus · Accepted Answer

The appropriate set of hypotheses for this scenario is H₀: μ = 1200 vs. H₁: μ > 1200. This is because the spouse suspects that the average amount spent on Christmas gifts for immediate family members is above $1,200. Therefore, the null hypothesis is that the average amount spent is equal to $1,200, while the alternative hypothesis is that it is greater than $1,200. Option C is the only one that correctly represents these hypotheses.

A Spouse Suspects That the Average Amount of Money Spent