If you wish to determine there is evidence that the average starting salary for finance graduates exceeds $42,000, how would you formulate the null and alternative hypotheses?
A) so that either a two-tailed or one-tailed test could be used
B) so that a two-tailed test should be used
C) so that a one-tailed test should be used
D) so that the probability of committing a Type II error would be equal to 0.42

Question

Quizplus · Accepted Answer

The null hypothesis would state that the average starting salary is $42,000 or less, while the alternative hypothesis would state that it exceeds $42,000. This setup requires a one-tailed test.

If You Wish to Determine There Is Evidence That the Average