A company\'s old antihistamine formula provided relief for 69% of the people who

Question

A company's old antihistamine formula provided relief for 69% of the people who used it. The company tests a new formula to see if it is better, and gets a P-value of 0.14. State the null and alternative hypotheses. Is it reasonable to conclude that the new formula and the old one are equally effective? Explain. What is the null hypothesis? Upper H 0 : p equals 0.69 What is the alternative hypothesis? Upper H Subscript Upper A Baseline : p greater than 0.69

Choose the correct answer below.

A. It is not reasonable to conclude that the new formula and the old one are equally effective. There is a 14% chance the new formula is better than the old one.

B. It is not reasonable to conclude that the new formula and the old one are equally effective. The P-value cannot suggest this conclusion.

C. Since the P-value is greater than 0.05, it seems that the new formula is more effective than the old one.

D. Since the P-value is greater than 0.05, it seems that the new formula is equally effective as the old one.

Explanation / Answer

Null Hypothesis: Mean=0.69

Alternate hypothesis: Mean>=0.69

The correct answer is

It is not reasonable to conclude that the new formula and the old one are equally effective. The P-value cannot suggest this conclusion.

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