Myrtle has a credit card that uses the average daily balance method. For the first 21 days of one of her billing cycles, her bal
ance was $2030, and for the last 9 days of the billing cycle, her balance was $1450. If her credit card's APR is 23%, which of these expressions could be used to calculate the amount Myrtle was charged in interest for the billing cycle?
(a)- (0.23/365 x30)÷(21x $2030+ 9x$1450/30)
(b)- (0.23/365 x30)÷(9x $2030+ 21x$1450/30)
(c)- (0.23/365 x31)÷(9x $2030+ 21x$1450/31)
(d)- (0.23/365 x31)÷(21x $2030+ 9x$1450/31)
(a)- (0.23/365 x30)÷(21x $2030+ 9x$1450/30)
(b)- (0.23/365 x30)÷(9x $2030+ 21x$1450/30)
(c)- (0.23/365 x31)÷(9x $2030+ 21x$1450/31)
(d)- (0.23/365 x31)÷(21x $2030+ 9x$1450/31)
2 answers:
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Answer:
If we compare the p value and the significance level given we see that
so we can conclude that we have enough evidence to reject the null hypothesis, so we can conclude that the true mean is different from 634 at 10% of signficance.
Step-by-step explanation:
Data given and notation
represent the sample mean
represent the sample standard deviation
sample size
represent the value that we want to test
represent the significance level for the hypothesis test.
t would represent the statistic (variable of interest)
represent the p value for the test (variable of interest)
State the null and alternative hypotheses.
We need to conduct a hypothesis in order to check if the mean is different from 634, the system of hypothesis would be:
Null hypothesis:
Alternative hypothesis:
If we analyze the size for the sample is > 30 but we don't know the population deviation so is better apply a t test to compare the actual mean to the reference value, and the statistic is given by:
(1)
t-test: "Is used to compare group means. Is one of the most common tests and is used to determine if the mean is (higher, less or not equal) to an specified value".
Calculate the statistic
We can replace in formula (1) the info given like this:
P-value
The first step is calculate the degrees of freedom, on this case:
Since is a two sided test the p value would be:
Conclusion
If we compare the p value and the significance level given we see that
so we can conclude that we have enough evidence to reject the null hypothesis, so we can conclude that the true mean is different from 634 at 10% of signficance.