If the probability of selling the full-fare air ticket is 0.90, ...

[Davideckstein7]

If the probability of selling the full-fare air ticket is 0.90, the best decision is to discount the price.
 
  Indicate whether the statement is true or false

Question 2

A decision maker wishes to test the following null and alternative hypotheses using an alpha level equal to 0.05:H0 : 1 - 2 = 0HA : 1 - 2  0The population standard deviations are assumed to be known.
 
  After collecting the sample data, the test statistic is computed to be z = 1.78Using the p-value approach, what decision should be reached about the null hypothesis?A) Since p-value = 0.0018 < /2 = 0.025, reject the null hypothesis
  B) Since p-value = 0.0415 > /2 = 0.025, do not reject the null hypothesis.
  C) Since p-value = 0.0033 < /2 = 0.025, reject the null hypothesis.
  D) Since p-value = 0.0375 > /2 = 0.025, do not reject the null hypothesis.

[kescobar@64]

Answer to Question 1

FALSE

Answer to Question 2

D