Which of the following alternative hypotheses would indicate a two-tailed test?

Question

A) μ > 0
B) μ < 0
C) μ ≠ 0
D) μ = 0

Answer 1

The alternative hypothesis that would indicate a two-tailed test is:

C) μ ≠ 0

In a two-tailed test, we are interested in determining whether the parameter (in this case, μ) is significantly different from a specified value in either direction (either greater than or less than that value). The alternative hypothesis μ ≠ 0 indicates that μ could be either less than 0 or greater than 0, thus requiring a two-tailed test.