Hi Ivan!
Since this question is based on a proportion (the percent of flights that depart on time), not a mean, we use a z-test rather than a t-test. T-tests are used when we are testing means, so answer choices A and B can be eliminated. Next, focus on the wording “less than 65%.” This tells us the test is left-tailed, because we are checking whether the true proportion is below the claimed value.
The hypotheses would be:
H₀: p = 0.65, meaning we start by assuming the airline’s claim is true.
Hₐ: p < 0.65, meaning we are testing if the actual proportion is smaller than what is claimed.
The question asks for the critical value at the 5% significance level, not the test statistic you calculate from the sample data. The critical value is the cutoff that separates the rejection region from the non-rejection region. For a left-tailed z-test with α = 0.05, the critical z-value is −1.645. That’s why the correct answer is choice C.