A sample of 16 ATM transactions shows a mean transaction time of 67 seconds with a standard deviation of 12 seconds.State the hypotheses to test whether the mean transaction time exceeds 60 seconds. A)H0: μ ≤ 60,H1: μ 60 B)H0: μ ≥ 60,H1: μ

Question

A sample of 16 ATM transactions shows a mean transaction time of 67 seconds with a standard deviation of 12 seconds.State the hypotheses to test whether the mean transaction time exceeds 60 seconds.
A)H0: μ ≤ 60,H1: μ > 60
B)H0: μ ≥ 60,H1: μ < 60
C)H0: μ = 60,H1: μ ≠ 60
D)H0: μ < 60,H1: μ ≥ 60

Quizplus · Accepted Answer

To test whether the mean transaction time exceeds 60 seconds, we need to use a one-tailed hypothesis test with an alternative hypothesis that the mean transaction time is greater than 60 seconds. Therefore, the correct hypothesis set is:
H0: μ ≤ 60
H1: μ > 60
Option A is the only choice that represents these hypotheses. Option B has the wrong direction for the alternative hypothesis. Option C represents a two-tailed test, which is not applicable to this scenario. Option D has the wrong direction for the null hypothesis.

A Sample of 16 ATM Transactions Shows a Mean Transaction