Mauricio Cruz a wine merchant for Cruzs Spirits Emporium wan

Mauricio Cruz, a wine merchant for Cruz\'s Spirits Emporium, wants to determine if the average price of imported wine is less than the average price of domestic wine. He obtained the data shown in the table below. Imported Wine Domestic Wine Xbar1 = $4.30 Xbar2 = $9.78 s1 = $2.31 s2 = $3.62 n1= 15 n2 = 16 What is the alternative hypothesis? H1: 1 2 H 1 : 1 < 2 H0: 1 2 H0: 1 = 2

Solution

alternative hypothesis

H 1 : 1 < 2

because we need to determine if the average price of imported wine is less than the average price of domestic wine

and the objective of a test is reject Ho, if we have such evidence, if not , then we fail to reject Ho

so we need to determine if our H1 is true or not