A Pawn Shop Claims to Sell Used Kindles for About

Multiple Choice

A pawn shop claims to sell used Kindles for about the same price as Amazon or eBay. Both online retailers sell used Kindles for around $150. Below are recent Kindle sales prices for the pawn shop. Using the critical value approach and α = 0.05, the appropriate conclusion is ________.

A) to reject the null hypothesis; conclude the median sale price is greater than $150
B) do not reject the null hypothesis; we cannot conclude the median sale price is greater than $150
C) to reject the null hypothesis; we cannot conclude the median sale price is greater than $150
D) do not reject the null hypothesis; conclude the median sale price is greater than $150