4
QuizMultiple Choice
Introduction to Hypothesis Testing
Question 4 of 10 • CA-Statistics and Probability B
A popular restaurant chain will open a new franchise if a study shows that more than 60% of residents in an area would purchase food from the restaurant. An analyst of a particular area randomly selects 500 residents and surveys them about their interest in the restaurant. Of the 500 residents, 320 stated they would purchase food from the restaurant. The P-value for the test of the hypotheses, and , is 0.03. What is the correct conclusion given ?
Answer
A
Because the P-value is less than , the analyst should reject H0.
B
Because the P-value is less than , the analyst should fail to reject H0.C
Because the P-value is greater than , the analyst should reject H0.D
Because the P-value is greater than , the analyst should fail to reject H0.