Top Posters
Since Sunday
6
l
6
5
n
5
N
5
m
5
j
4
s
4
4
c
4
r
4
m
4
New Topic  
rsbains rsbains
wrote...
Posts: 330
A month ago
To plan the budget for next year a college needs to estimate what impact the current economic downturn might have on student requests for financial aid. Historically, this college has provided aid to 35% of its students. Officials look at a random sample of this year's applications to see what proportion indicate a need for financial aid. Based on these data they create a 90% confidence interval of (32%, 40%). Could this interval be used to test the hypothesis H0: p = 0.35 versus HA: p ≠ 0.35 at the α = 0.10 level of significance?

▸ Yes; since 35% is in the confidence interval they accept the null hypothesis, concluding that the percentage of students requiring financial aid will stay the same.

▸ Yes; since 35% is in the confidence interval they fail to reject the null hypothesis, concluding that there is not strong evidence of any change in financial aid requests.

▸ No, because they only used a sample of the applicants instead of all of them.

▸ Yes; since 35% is not at the center of the confidence interval they reject the null hypothesis, concluding that the percentage of students requiring aid will increase.

▸ No, because financial aid amounts may not be normally distributed.
Textbook 

Stats: Modeling the World


Edition: 4th
Authors:
Read 48 times
1 Reply
Replies
Answer verified by a subject expert
curtissxx9curtissxx9
wrote...
Posts: 303
A month ago
Sign in or Sign up in seconds to unlock everything.
Yes; since 35% is in the confidence interval they fail to reject the null hypothesis, concluding that there is not strong evidence of any change in financial aid requests.
1

Related Topics

wrote...
Posts: 330
Credits: 60

A month ago
Smart ... Thanks!
wrote...
Posts: 15
Credits: 40

Yesterday
You make an excellent tutor!
wrote...
Posts: 15
Credits: 40

Yesterday
Thanks for your help!
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers.
Learn More
Improve Grades
Help Others
Save Time
Accessible 24/7
  108 People Browsing
 184 Signed Up Today
Your Opinion
Where do you get your textbooks?
Votes: 110

Related Images
 746
 466
 109