Expedia would like to test if the average round-trip airfare between Philadelphia and Dublin is less than $1,200. Which of the following hypothesis tests should be performed?
A) Left-tailed
B) Right-tailed
C) Two-tailed
D) There is not enough information to answer.

Question

Quizplus · Accepted Answer

A left-tailed test is appropriate when the hypothesis is testing if a parameter is less than a certain value. In this case, Expedia wants to test if the average round-trip airfare is less than $1,200, which fits the criteria for a left-tailed test.

Expedia Would Like to Test If the Average Round-Trip Airfare