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    Null Hypothesis, Alternate Hypothesis, and Tails in the Test

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    A restaurant that bills its house account monthly is concerned that the average monthly bill exceeds $200 per account. A random sample of twelve accounts is selected, resulting in the sample mean of $220 and a sample standard deviation of $12. The researchers have determined that they should test that the mean bill exceeds $200 at the 5% level of significance.

    What is the Null Hypothesis?

    What is the Alternate Hypothesis?

    How many tail(s) in the test?

    What test should the researchers use?

    Why do they use this test?

    What is the critical value?

    If the calculated value for the test statistic is 5.77, then what have the researchers learned with the test?

    Are the test results reliable?

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    Solution Summary

    Solution attaches a Word document answering 8 parts of a hypothesis testing question.