A hypothesis test is to be performed. Describe the two possible outcomes of the test using the context of the given situation.A health insurer has determined that the "reasonable and customary" fee for a certain medical procedure is They suspect that the average fee charged by one particular clinic for this procedure is higher than The insurer wants to perform a hypothesis test to determine whether their suspicion is correct.The hypothesis tests are as follows: Null hypothesis: mean fee = $1200Alternative hypothesis: mean fee > $1200

Question

A. Rejecting the null hypothesis means there is evidence that the mean fee is not equal to $1200. 
Failing to reject the null hypothesis means there is insufficient evidence to conclude that the mean fee is greater than $1200.
B. Rejecting the null hypothesis means there is evidence that the mean fee is greater than $1200. 
Failing to reject the null hypothesis means there is insufficient evidence to conclude that the mean fee is greater than $1200.
C. Rejecting the null hypothesis means there is evidence that the mean fee is greater than $1200. 
Accepting the null hypothesis means there is evidence to conclude that the mean fee is equal to $1200.
D. Rejecting the null hypothesis means there is evidence that the mean fee is greater than $1200. 
Failing to reject the null hypothesis means there is insufficient evidence to conclude that the mean fee is equal to $1200.

Answer 1

Answer: B