-5 of 10 ID: MST.HT.CHT.02.0010 [1 point] The head of Marketing at American Expr

Question

-5 of 10 ID: MST.HT.CHT.02.0010 [1 point] The head of Marketing at American Expresso is interested in determining whether the average income of its credit card holders has increased over the past 12 years. When the credit cards were first marketed, the mean income of all card holders was equal to $60,000 per annum. The results of the corresponding hypothesis test that was carried out are shown here AMERICAN EXPRESSO INCOME TEST According to the hypothesis test results, it is most reasonable to conclude that: Ho: = $60,000 per annum Ha: > $60,000 per annum there is a 99.31% chance that the mean income of American Expresso credit card holders is now greater than $60,000 per annum there is evidence supporting the hypothesis that the mean income of American Expresso credit card holders is now greater than $60,000 per annum approximately 99.31% of American Expresso credit card holders have an income greater than $60,000 per annum the mean income of American Expresso credit card holders is now greater than $60,000 per annunm a 0.05 x = $62,911 per annum = $7,000 per annum n = 35 z = 2.46 P-value = 0.0069 Outcome: REJECT THE NULL

Explanation / Answer

Since p - value < 0.05, we reject Ho and hence, there is evidence supporting that mean income of American express card holders is now greater than $60,000 per annum.

Option B is correct.

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