Appropriate null and alternative hypotheses

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1. The president of a company that manufac- tures central home air conditioning units has told an investigative reporter that at least 85% of its homeowner customers claim to be "completely satisfied" with the overall purchase experience. If the reporter were to subject the president's statement to statistical scrutiny by questioning a sample of the company's residential customers, would the test be one-tail or two-tail? What would be the appropriate null and alternative hypotheses?

2. On CNN and other news networks, guests often express their opinions in rather strong, persuasive, and sometimes frightening terms. For example, a scientist who strongly believes that global warming is taking place will warn us of the dire consequences (such as rising sea levels, coastal flooding, and global climate change) she foresees if we do not take her arguments seriously. If the scientist is correct, and the world does not take her seri- ously, would this be a Type I error or a Type II error? Briefly explain your reasoning.

Reference no: EM13975506

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