Seeing is believing!
Before you order, simply sign up for a free user account and in seconds you'll be experiencing the best in CFA exam preparation.
Basic Question 3 of 8
The Santa Rosa Homeowners are trying to prove that the homes in their area are less than 5 miles from the nearest fire station. The data and hypothesis test is shown below. The conclusion should be that ______
B. the homes in the Santa Rosa area are, on average, less than 5 miles from the nearest fire station.
C. the homes in the Santa Rosa area are, on average, 5 miles or more from the nearest fire station.
A. there is no evidence that the homes in the Santa Rosa area are, on average, 5 miles or more from the nearest fire station.
B. the homes in the Santa Rosa area are, on average, less than 5 miles from the nearest fire station.
C. the homes in the Santa Rosa area are, on average, 5 miles or more from the nearest fire station.
User Contributed Comments 2
| User | Comment |
|---|---|
| johans | What is wrong with A? |
| rufi | if we reject H0, mean we have evidence that it is less than 5 miles |
I am happy to say that I passed! Your study notes certainly helped prepare me for what was the most difficult exam I had ever taken.
Andrea Schildbach
Learning Outcome Statements
construct hypothesis tests and determine their statistical significance, the associated Type I and Type II errors, and power of the test given a significance level
CFA® 2024 Level I Curriculum, Volume 1, Module 8.