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A Health Insurer Has Determined That the "Reasonable and Customary

Question 13

Multiple Choice

A health insurer has determined that the "reasonable and customary" fee for a certain medical procedure is $1200.They suspect that the average fee charged by one particular clinic for this procedure is higher than $1200.The insurer wants to perform a hypothesis test to determine whether their suspicion is correct.


A) Lower-tailed
B) Two-sided
C) Upper-tailed

Correct Answer:

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