Students who graduated from college in 2010 owed an average of $25,000 in student loans. An economist wants to determine if average debt has changed. She takes a sample of 40 recent graduates and finds that their average debt is $27,500 with a population standard deviation of $9,120. Use 10% significance level to answer the following questions. a. Specify the competing hypotheses to test economists ‘claim. b. Calculate the value of the test statistic. c. Is the portfolio manager's claim substantiated by the data? Explain.
Students who graduated from college in 2010 owed an average of $25,000 in student loans. An economist wants to determine if average debt has changed. She takes a sample of 40 recent graduates and finds that their average debt is $27,500 with a population standard deviation of $9,120. Use 10% significance level to answer the following questions. a. Specify the competing hypotheses to test economists ‘claim. b. Calculate the value of the test statistic. c. Is the portfolio manager's claim substantiated by the data? Explain.
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.4: Distributions Of Data
Problem 19PFA
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Students who graduated from college in 2010 owed an average of $25,000 in student loans. An economist wants to determine if average debt has changed. She takes a sample of 40 recent graduates and finds that their average debt is $27,500 with a population standard deviation of $9,120. Use 10% significance level to answer the following questions. a. Specify the competing hypotheses to test economists ‘claim. b. Calculate the value of the test statistic. c. Is the portfolio manager's claim substantiated by the data? Explain.
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