MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
6th Edition
ISBN: 9781119256830
Author: Amos Gilat
Publisher: John Wiley & Sons Inc
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Good credit: The Fair Isaac Corporation (FICO) credit score is used by banks and other lenders to determine whether someone is a good credit risk. Scores
range from 300 to 850, with a score of 720 or more indicating that a person is a very good credit risk. An economist wants to determine whether the mean FICO
score is lower than the cutoff of 720. she finds that a random sample of 40 people had a mean FICO score of 680 with a standard deviation of 90, Can the
economist conclude that the mean FICO score is less than 720? Use the a=0.01 level of significance and the P-value method with the TI-84 Plus calculator.
Part: 0 / 4
Part 1 of 4
State the appropriate null and alternate hypotheses.
D-0
H:
This hypothesis test is a (Choose one) ▼
test.
Part 2 of 4
Compute the P-value. Round the answer to at least four decimal places.
P-value =
Part: 2/ 4
Part 3 of 4
Determine whether to reject H
(Choose one) ▼
the null hypothesis H.
Part 4 of 4
State a conclusion.
There (Choose one) v enough evidence to conclude that the mean FICO score is lower than the cutoff of 720.
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Transcribed Image Text:Good credit: The Fair Isaac Corporation (FICO) credit score is used by banks and other lenders to determine whether someone is a good credit risk. Scores range from 300 to 850, with a score of 720 or more indicating that a person is a very good credit risk. An economist wants to determine whether the mean FICO score is lower than the cutoff of 720. she finds that a random sample of 40 people had a mean FICO score of 680 with a standard deviation of 90, Can the economist conclude that the mean FICO score is less than 720? Use the a=0.01 level of significance and the P-value method with the TI-84 Plus calculator. Part: 0 / 4 Part 1 of 4 State the appropriate null and alternate hypotheses. D-0 H: This hypothesis test is a (Choose one) ▼ test. Part 2 of 4 Compute the P-value. Round the answer to at least four decimal places. P-value = Part: 2/ 4 Part 3 of 4 Determine whether to reject H (Choose one) ▼ the null hypothesis H. Part 4 of 4 State a conclusion. There (Choose one) v enough evidence to conclude that the mean FICO score is lower than the cutoff of 720.
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