The owner of a large car dealership believes that the financial crisis decreased the number of customers visiting her dealership. The dealership has historically had 800 customers per day. The owner takes a sample of 100 days and finds the average number of customers visiting the dealership per day was 750. Assume that the population standard deviation is 350.To determine whether there has been a decrease in the average number of customers visiting the dealership daily, the appropriate hypotheses are ________. A) H₀: μ ≤ 800, H_A: μ 800 B) H₀: ≤ 800, H_A: 800 C) H₀: μ ≥ 800, H_A: μ

Question

The owner of a large car dealership believes that the financial crisis decreased the number of customers visiting her dealership. The dealership has historically had 800 customers per day. The owner takes a sample of 100 days and finds the average number of customers visiting the dealership per day was 750. Assume that the population standard deviation is 350.To determine whether there has been a decrease in the average number of customers visiting the dealership daily, the appropriate hypotheses are ________. A) H₀: μ ≤ 800, H_A: μ > 800 B) H₀: ≤ 800, H_A: > 800 C) H₀: μ ≥ 800, H_A: μ < 800 D) H₀: ≥ 800, H_A: < 800

Quizplus · Accepted Answer

Since the owner believes that the financial crisis decreased the number of customers visiting her dealership, we are interested in testing whether the mean number of customers per day is lower than the historical average of 800. Therefore, the appropriate null hypothesis is H₀: μ ≥ 800 (meaning that there is no decrease in the mean number of customers per day) and the alternative hypothesis is H_A: μ < 800 (meaning that there is a decrease in the mean number of customers per day). The appropriate choice is therefore C.

The Owner of a Large Car Dealership Believes That the Financial