Recently, the number of airline companies that offer in-flight Wi-Fi service to passengers has increased. However, it is estimated that only 16% of the passengers who haveWi-Fi available to them are willing to pay for it. Suppose the largest provider of airline Wi-Fi service, would like to test this hypothesis by randomly sampling 250 passengers and asking them if they would be willing to pay $4.95 for 90 minutes of onboard Internet access. Suppose that 35 passengers indicated they would use this service. Using α=0.10, complete part a below.
a. What conclusions can be drawn about the proportion of airline passengers willing to pay for onboard Wi-Fi service?
Determine the null and alternative hypotheses. Choose the correct answer below.
A. H0: p≥0.16 H1: p<0.16
B. H0: p≤0.16 H1: p>0.16
C. H0: p=0.16 H1: p≠0.16
D. H0: p>0.16 H1: p≤0.16