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Example: The number of concurrent users for an ISP has historically averaged 5000. After a marketing campaign, the management would like to know if it has resulted in an increase in the number of concurrent users. To test this, data were collected by observing the number of concurrent users at 100 randomly selected moments of time. Suppose that the average and the standard deviation of the sample data are 5200 and 800, respectively. What is the null and alternative hypothesis if the study is to find for any evidence that the mean number of concurrent users has increased?

Question

Example: The number of concurrent users for an ISP has historically averaged 5000. After a marketing campaign, the management would like to know if it has resulted in an increase in the number of concurrent users. To test this, data were collected by observing the number of concurrent users at 100 randomly selected moments of time. Suppose that the average and the standard deviation of the sample data are 5200 and 800, respectively. What is the null and alternative hypothesis if the study is to find for any evidence that the mean number of concurrent users has increased?

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Solution

The null hypothesis (H0) and alternative hypothesis (H1) for this study would be:

Null Hypothesis (H0): The mean number of concurrent users has not increased and remains equal to 5000. Mathematically, this can be represented as H0: μ = 5000.

Alternative Hypothesis (H1): The mean number of concurrent users has increased. Mathematically, this can be represented as H1: μ > 5000.

Here, μ represents the population mean. The null hypothesis assumes that the marketing campaign has had no effect on the number of concurrent users, while the alternative hypothesis assumes that the campaign has resulted in an increase in the number of concurrent users.

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