The University of Michigan\'s business school claims it has the highest average

Question

The University of Michigan's business school claims it has the highest average GPA in the Big 10 among its business students. The business school claims that the business student average GPA is 3.5. Your friend believes that Michigan's claims are falsely inflated. In an effort to prove whether the grades are falsely inflated, your friend collects a random sample of 100 business students from Michigan and gets an average GPA of 3.31 with a standard deviation of 0.3.

1.1.

Question 1.1 The appropriate null and alternative hypotheses for your friend's test the test are:

A. H0: mu >= 3.31, H1: mu < 3.31

B. H0: mu >= 3.5, H1: mu < 3.5

C. H0: mu <= 3.31, H1: mu > 3.31

D. H0: mu <= 3.5, H1: mu > 3.5

Explanation / Answer

Here, null hypothesis(which will be proven wrong) is GPA will be larger than or equals to 3.5

Alternate hypothesis is Score is less than 3.5

Thus,

H0: mu >= 3.5, H1: mu < 3.5

Option B is correct

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