Answer:
The correct option is;
Two-tailed test
Step-by-step explanation:
From the interpretation of the question statement, the trader wants to conduct a hypothesis test on the trader's claim that the proportion of stocks that offer dividends is different from 0.14
Given that the difference is hypothesized, then the null hypothesis, H₀ and the alternative hypothesis, H₁ should be written as follows;
H₀: Null hypothesis (no difference, or no change)
H₁: μ ≠ μ₀ which is hypothesizing difference which is known as a two-tailed test
The confidence level is then selected and the test statistic is calculated
