A fast-food franchise is considering building a restaurant at a busy intersection.A financial advisor determines that the site is acceptable only if,on average,more than 300 automobiles pass the location per hour.The advisor tests the following hypotheses: The consequences of committing a Type II error would be that _______________.
A)The franchiser builds on an acceptable site
B)The franchiser builds on an unacceptable site
C)The franchiser does not build on an acceptable site
D)The franchiser does not build on an unacceptable site

Question

A fast-food franchise is considering building a restaurant at a busy intersection.A financial advisor determines that the site is acceptable only if,on average,more than 300 automobiles pass the location per hour.The advisor tests the following hypotheses:  The consequences of committing a Type II error would be that _______________.
A)The franchiser builds on an acceptable site 
B)The franchiser builds on an unacceptable site 
C)The franchiser does not build on an acceptable site 
D)The franchiser does not build on an unacceptable site

Quizplus · Accepted Answer

Committing a Type II error means failing to reject the null hypothesis when it is actually false, meaning the site does not have enough traffic to be acceptable. The consequence of this would be that the franchiser does not build on an acceptable site, which is option C.

A Fast-Food Franchise Is Considering Building a Restaurant at a Busy