### A manager of the credit department for an oil company would like to determine whether the average monthly balance of credit card holders is equal to $75.

Please provide a brief explanation if possible of how to arrive at these answers. Please see attached file for full problem description. 1. Suppose we wish to test H0: 47 versus H1: > 47. What will result if we conclude that the mean is greater than 47 when its true value is really 52? a) We have made a Type I error.