A new company is in the process of evaluating its customer service. The company offers two types of sales: (1) Internet sales an
d (2) store sales. The marketing research manager believes that the Internet sales are more than 10 percent higher than store sales. The alternative hypothesis for this problem would be stated as:
An <em>inverse</em> function is any function that "undoes" another function. If we think of the function as some kind of machine that takes in a number as input and produces a number as an output, when we give inverse function the number as in input, we get , our original input, as the output
We need a function that undoes , and the natural choice for undoing an exponent is with a logarithm. Here, our base is , so we'll choose as our inverse function. Let's see how that works:
is the power we have to raise to to get , which is , so