In the year 2000, the average car had a fuel economy of 23.45 MPG. You are curio
ID: 3061754 • Letter: I
Question
In the year 2000, the average car had a fuel economy of 23.45 MPG. You are curious as to whether this average is greater than today. The hypotheses for this scenario are as follows: Null Hypothesis: 23.45, Alternative Hypothesis: > 23.45. You perform a one sample mean hypothesis test on a random sample of data and observe a p-value of 0.0292. What is the appropriate conclusion? Conclude at the 5% level of significance.
1) The true average fuel economy today is significantly less than 23.45 MPG.
2) The true average fuel economy today is significantly greater than 23.45 MPG.
3) The true average fuel economy today is significantly different from 23.45 MPG.
4) The true average fuel economy today is less than or equal to 23.45 MPG.
5) We did not find enough evidence to say the true average fuel economy today is greater than 23.45 MPG.
Explanation / Answer
Ans:
Right tailed test.
p-value=0.0292
As,p-value=0.0292<0.05,we reject null hypothesis(H0) in favor of alternative hypothesis(H1).
There is enough evidence to conclude that the true average fuel economy today is significantly greater than 23.45 MPG.
Option 2 is correct.