Your investment executive claims that the average yearly rate of return on the stocks she recommends is at least 10.0%.You plan on taking a sample to test her claim.The correct set of hypotheses is A)H₀: $\mu$ 10.0% H_a: $\mu$ 10.0% C)H₀: $\mu$ 10.0% H_a: $\mu$ $\le$10.0% D)H₀: $\mu$ $\ge$10.0% H_a: $\mu$

Question

Your investment executive claims that the average yearly rate of return on the stocks she recommends is at least 10.0%.You plan on taking a sample to test her claim.The correct set of hypotheses is A)H₀: $\mu$ < 10.0% H_a: $\mu$ $\ge$10.0% B)H₀: $\mu$ >10.0% H_a: $\mu$ > 10.0% C)H₀: $\mu$ > 10.0% H_a: $\mu$ $\le$10.0% D)H₀: $\mu$ $\ge$10.0% H_a: $\mu$ < 10.0%

Quizplus · Accepted Answer

The null hypothesis (H0) represents the claim being tested, which is that the average return is at least 10.0%. The alternative hypothesis (Ha) is what you want to test against, which is that the average return is less than 10.0%.

Your Investment Executive Claims That the Average Yearly Rate of Return