Answer:
(A)The sample comes from a population of tires with 60,000 miles where 5% of tires are worn out.
Step-by-step explanation:
The tire manufacturer has a 60,000 mile warranty for tread life. To verify the authenticity of its claim, it picks a sample of 250 tires (out of the population of tires) that have been used for 60,000 miles.
Given the hypothesis:
: The proportion of tires that are worn out after 60,000 miles is equal to 0.05.
: The proportion of tires that are worn out after 60,000 miles is less than 0.05.
It is assumed that 5% of the tires in the sample are worn out and the hypothesis is formulated to prove or disprove this assumption.