Question

Question 15 (1 point)

Do sit down restaurant franchises and fast food franchises differ significantly in stock price? Specifically, is the average stock price for sit-down restaurants less than the average stock price for fast food restaurants? A hypothesis test for two independent samples is run on data recorded from the stock exchange and a p-value is calculated to be 0.0121. What is the appropriate conclusion?

Question 15 options:

	1) The average stock price of sit-down restaurants is greater than or equal to the average stock price of fast food restaurants.
	2) The average stock price of sit-down restaurants is significantly different from the average stock price of fast food restaurants.
	3) The average stock price of sit-down restaurants is significantly less than the average stock price of fast food restaurants.
	4) The average stock price of sit-down restaurants is significantly greater than the average stock price of fast food restaurants.
	5) We did not find enough evidence to say the average stock price of sit-down restaurants is less than the average stock price of fast food restaurants.

Answer 1

since p value is less than significance level =0.05:

option 3 is correct:

The average stock price of sit-down restaurants is significantly less than the average stock price of fast food restaurants.