Question

A money management firm, which specializes in debt reduction, is interested in the average amount of debt for a married couple. In previous years, married couples had 4500 dollars, on average, of debt. Due to increased costs of college and mortgage interest rates, the money management firm suspects this average has increased in recent years. If the money management firm carries out an hypothesis test, what forms the rejection region?

Answer 1

Incomplete question. However, this are the options to select from

I. test statistic

II. p-value

III. critical value

IV. null hypothesis

Answer:

IV

Explanation:

Remember, the region of rejection in statistical analysis simply implies what is that numerical range to which the observed results if different from assumed results would lead to the hypothesis should be discarded.

This hypothesis is called the Null hypothesis, it forms the rejection region of any statistical analysis.

Answer 2

Critical value forms the rejection region