Question

How much customers buy is a direct result of how much time they spend in the store. A study of average shopping times in a large national houseware store gave the following information (Source: Why We Buy: The Science of Shopping by P. Underhill). Women with female companion: 8.3 min. Women with male companion: 4.5 min. Suppose you want to set up a statistical test to challenge the claim that a woman with a female friend spends an average of 8.3 minutes shopping in such a store. (a) What would you use for the null and alternate hypotheses if you believe the average shopping time is less than 8.3 minutes?

Answer 1

Null Hypothesis [H0] : t = 8.3

Alternate Hypothesis [H1] : t < 8.3

Explanation:

Hypothesis testing is used to test the statistical significance of a mathematical proposition.

Null Hypothesis is the neutral hypothesis, stating equality to assumed value. Alternate Hypothesis is the contradictory hypothesis, stating deviation from the assumed value.

For hypothesis formation of given case:-

Let average time taken by women with female companion = t

Null Hypothesis [H0] : t = 8.3

Alternate Hypothesis [H1] : t < 8.3