The Alternative Hypothesis in the above example is?

A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw materials for a new product upgrade. The purchasing manager is depending on the Belt’s effort requiring that the average cost of an internal critical raw material component be less than or equal to $4,200 in order to stay within budget. Using a sample of 35 first article components, a Mean of the new product upgrade price of $4,060, and a Standard Deviation of $98 was estimated.

The Alternative Hypothesis in the above example is?
A . The Standard Deviation is equal to $300.
B. The Mean is less than $4,320.
C. The Mean is equal to $4,060.
D. The Mean is less than $4,200.
E. The Mean is greater than $ 4,200.

View Answer

Answer: E