I need help writing the null and alternate hypothesis for this assignment; we are looking at moving a business to a home base operation. Below is what we have so far, from this information how would I write the null and alternate hypothesis?
No more prevalent in the world is the ability to turn a business idea into reality than in the United States. Near the late part of the 20th Century "Mom and Pop" type businesses were business as usual and nearly on every street in suburban America. However with the arrival of larger retail chains and franchised retailers found it difficult to compete for business. By the end of the 20th Century many of theses businesses took retreat into the Home-Based format where low overhead and operating costs are feasible. Also small business start up would take to this same style of initialization. But with brilliant ideas come the decisions that have to be made regarding expansion.
"Home-Based Business to Office Setting, is it Cost Effective?"
The business we chose to involve in this paper is an actual business which is considering the costs associated with moving into a business park and opening its doors to more business. The population of interest is the current cost of operation the business must pay at this time. The parameters involved would be the research which must be conducted regarding additional costs and insurances of a business with added overhead. What must be tested is the additional costs of operation as a result of the move into an office setting and if these costs if not too great can be offset by the additional business the company can expect as a result of being placed into the consumer's eye.
So without a doubt the question is, "as a result of the move does the business stand to spend less than $33,000 dollars in overhead expenses?" Let's face it, if the cost of operation increases then, why would anyone in their right mind choose to spend more to get the same amount of income? Our choice for business location would have to come into play, as with the variables involved in moving the business among others. The results of this exercise will be presented to the owner and considered.
Specify the Null and Alternative Hypothesis.
A null hypothesis is a hypothesis set up to be nullified or refuted in order to support an alternative hypothesis. When used, the null hypothesis is presumed true until statistical evidence in the form of a hypothesis test indicates otherwise. The use of the null hypothesis is controversial; a null hypothesis is often the reverse of what the experimenter actually believes; it is put forward to allow the data to ...
The solution determines the null and alternative hypothesis and also explains the concept of hypothesis testing in detail.