A survey claimed that of adults prefer electric cars over traditional cars. A car manufacturer believes the true proportion is higher than . To test this, they survey a random sample of adults and find that say they prefer electric cars. Determine which test statistic to use & calculate it.
Table of contents
- 1. Introduction to Statistics53m
- 2. Describing Data with Tables and Graphs2h 1m
- 3. Describing Data Numerically1h 48m
- 4. Probability2h 26m
- 5. Binomial Distribution & Discrete Random Variables2h 55m
- 6. Normal Distribution & Continuous Random Variables1h 48m
- 7. Sampling Distributions & Confidence Intervals: Mean2h 8m
- 8. Sampling Distributions & Confidence Intervals: Proportion1h 20m
- 9. Hypothesis Testing for One Sample2h 23m
- 10. Hypothesis Testing for Two Samples3h 25m
- 11. Correlation1h 6m
- 12. Regression1h 4m
- 13. Chi-Square Tests & Goodness of Fit1h 30m
- 14. ANOVA1h 4m
9. Hypothesis Testing for One Sample
Steps in Hypothesis Testing
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Student loan debt has fluctuated over years, with signs indicating that the default rate may be increasing. Write the null and alternative hypothesis if you want to determine if the student loan default rate this year is more than .
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B
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D

1
Identify the parameter of interest, which in this case is the student loan default rate. Denote this parameter as 'p'.
Understand the context: You want to test if the student loan default rate this year is more than 15%. This indicates a one-tailed test.
Formulate the null hypothesis (H0). The null hypothesis represents the status quo or no change. Here, it would be that the default rate is equal to 15%. In mathematical terms, H0: p = 0.15.
Formulate the alternative hypothesis (Ha). The alternative hypothesis represents the change or effect you are testing for. Here, it would be that the default rate is greater than 15%. In mathematical terms, Ha: p > 0.15.
Ensure that the hypotheses are mutually exclusive and collectively exhaustive, meaning they cover all possible scenarios regarding the default rate being equal to or greater than 15%.
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Multiple Choice