• Card 40 / 180: The College Board reported that the average number of freshman class applications to public colleges and universities was 6,000. During a recent application enrollment period, a sample of 32 colleges and universities showed that the sample mean number of freshman class applications was 5,812. Assume the population standard deviation was known and was equal to 565. Use this information to form a null hypothesis to determine if the data indicate a change in the mean number of applications. Based on this information, which of the following statements is true?
    A) To evaluate the null hypothesis and calculate the appropriate test statistic, you will need to refer to the Z-distribution.
    B) To evaluate the null hypothesis and calculate the appropriate test statistic, you will need to refer to the t-distribution with degrees of freedom equal 32.
    C) To evaluate the null hypothesis and calculate the appropriate test statistic, you will need to refer to the t-distribution with degrees of freedom equal 31.
    D) To evaluate the null hypothesis and calculate the appropriate test statistic, you will need to refer to the t-distribution with degrees of freedom equal 6,000.

    Answer:
    A) To evaluate the null hypothesis and calculate the appropriate test statistic, you will need to refer to the Z-distribution.

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Business Statistics

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Attribution:  David T. Bourgeois, PhD; Bharatendra K. Rai, PhD. Business Statistics. The Saylor Academy 2014, http://www.saylor.org/courses/bus204/
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