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A credit score is used by credit agencies​ (such as mortgage companies and​ banks) to assess the creditworthiness of individuals. Values range from 300 to​ 850, with a credit score over 700 considered to be a quality credit risk. According to a​ survey, the mean credit score is 705.8 . A credit analyst wondered whether​ high-income individuals​ (incomes in excess of​ $100,000 per​ year) had higher credit scores. He obtained a random sample of 40   ​high-income individuals and found the sample mean credit score to be 725.8   with a standard deviation of 83.8 . Conduct the appropriate test to determine if​ high-income individuals have higher credit scores at the alpha equals0.05   level of significance.       Question content area bottom Part 1 State the null and alternative hypotheses.   Upper H 0 ​: mu ▼   equals not equals less than greater than   enter your response here Upper H 1 ​: mu ▼   less than not equals equals greater than   enter your response here ​(Type integers or decimals. Do not​ round.) Part 2 Identify the​ t-statistic.   t 0 equalsenter your response here   ​(Round to two decimal places as​ needed.) Part 3 Identify the​ P-value.   ​P-valueequals enter your response here   ​(Round to three decimal places as​ needed.) Part 4 Make a conclusion regarding the hypothesis.   ▼   Reject Fail to reject the null hypothesis. There ▼   is is not sufficient evidence to claim that the mean credit score of​ high-income individuals is ▼   equal to greater than less than enter your response here

A credit score is used by credit agencies​ (such as mortgage companies and​ banks) to assess the creditworthiness of individuals. Values range from 300 to​ 850, with a credit score over 700 considered to be a quality credit risk. According to a​ survey, the mean credit score is 705.8 . A credit analyst wondered whether​ high-income individuals​ (incomes in excess of​ $100,000 per​ year) had higher credit scores. He obtained a random sample of 40   ​high-income individuals and found the sample mean credit score to be 725.8   with a standard deviation of 83.8 . Conduct the appropriate test to determine if​ high-income individuals have higher credit scores at the alpha equals0.05   level of significance.       Question content area bottom Part 1 State the null and alternative hypotheses.   Upper H 0 ​: mu ▼   equals not equals less than greater than   enter your response here Upper H 1 ​: mu ▼   less than not equals equals greater than   enter your response here ​(Type integers or decimals. Do not​ round.) Part 2 Identify the​ t-statistic.   t 0 equalsenter your response here   ​(Round to two decimal places as​ needed.) Part 3 Identify the​ P-value.   ​P-valueequals enter your response here   ​(Round to three decimal places as​ needed.) Part 4 Make a conclusion regarding the hypothesis.   ▼   Reject Fail to reject the null hypothesis. There ▼   is is not sufficient evidence to claim that the mean credit score of​ high-income individuals is ▼   equal to greater than less than enter your response here

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.6: Summarizing Categorical Data
Problem 30PPS
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Question

A credit score is used by credit agencies​ (such as mortgage companies and​ banks) to assess the creditworthiness of individuals. Values range from 300 to​ 850, with a credit score over 700 considered to be a quality credit risk. According to a​ survey, the mean credit score is

705.8
.

A credit analyst wondered whether​ high-income individuals​ (incomes in excess of​ $100,000 per​ year) had higher credit scores. He obtained a random sample of

40
 

​high-income individuals and found the sample mean credit score to be

725.8
 

with a standard deviation of

83.8
.

Conduct the appropriate test to determine if​ high-income individuals have higher credit scores at the

alpha

equals0.05

 
level of significance.
 
 
 

Question content area bottom

Part 1
State the null and alternative hypotheses.
 
Upper H 0
​:
mu
▼
 
equals
not equals
less than
greater than
 

enter your response here

Upper H 1
​:
mu
▼
 
less than
not equals
equals
greater than
 

enter your response here

​(Type integers or decimals. Do not​ round.)
Part 2
Identify the​ t-statistic.
 
t 0

equalsenter your response here

 
​(Round to two decimal places as​ needed.)
Part 3
Identify the​ P-value.
 
​P-valueequals

enter your response here

 
​(Round to three decimal places as​ needed.)
Part 4
Make a conclusion regarding the hypothesis.
 
▼
 
Reject
Fail to reject
the null hypothesis. There
▼
 
is
is not
sufficient evidence to claim that the mean credit score of​ high-income individuals is
▼
 
equal to
greater than
less than
enter your response here

.

A credit score is used by credit agencies (such as mortgage companies and banks) to assess the creditworthiness of individuals. Values range from 300 to 850, with a credit score over 700 considered to be a quality credit risk. According to a survey, the mean credit score is 705.8. A credit analyst wondered whether high-income individuals (incomes in excess of $100,000 per year) had higher credit scores. He obtained a random sample of 40 high-income individuals and found the sample mean credit score to be 725.8 with a standard deviation of 83.8. Conduct the appropriate test to determine if high-income individuals have higher credit scores at the a = 0.05 level of significance. State the null and alternative hypotheses. Ho: H (Type integers or decimals. Do not round.) Identify the t-statistic. to = (Round to two decimal places as needed.) %D Identify the P-value. P-value = (Round to three decimal places as needed.) Make a conclusion regarding the hypothesis. the null hypothesis. There sufficient evidence to claim that the mean credit score of high-income individuals is
Transcribed Image Text:A credit score is used by credit agencies (such as mortgage companies and banks) to assess the creditworthiness of individuals. Values range from 300 to 850, with a credit score over 700 considered to be a quality credit risk. According to a survey, the mean credit score is 705.8. A credit analyst wondered whether high-income individuals (incomes in excess of $100,000 per year) had higher credit scores. He obtained a random sample of 40 high-income individuals and found the sample mean credit score to be 725.8 with a standard deviation of 83.8. Conduct the appropriate test to determine if high-income individuals have higher credit scores at the a = 0.05 level of significance. State the null and alternative hypotheses. Ho: H (Type integers or decimals. Do not round.) Identify the t-statistic. to = (Round to two decimal places as needed.) %D Identify the P-value. P-value = (Round to three decimal places as needed.) Make a conclusion regarding the hypothesis. the null hypothesis. There sufficient evidence to claim that the mean credit score of high-income individuals is
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