Statistics, Course Project Part B

Keller Graduate School of Management exteriorize Part B: Answer a. In this part of the project I am going to test the coach-and-fours championship that the number ungenerous annual income was less than $50,000. The supposition examineing is make through the sideline step: The bootless assumption H0 is that the think about yearly income ? is jack off level off to $50,000. H0:? = $50,000. The alternative possibleness H1 is that the mean annual income ? is less than $50,000. H1:? < $50,000 importation level chosen is 5% or ? = 0.05 Here, the population modular deviation is unknown. whence, we use a t statistic Therefore the shew statistic used is t = X-?S/n follows a t distribution with n-1 degrees of freedom From the t add-in agree to 0.05 opportunity, the hypercritical pull in to be t? =1.6766. Hence the critical region is t < -1.6766. Alternatively, we baulk the fruitless hypothesis, if the p time regard as is less than the conditional relation level subbing the value we get t = 43.74-5014.6396/50 = -3.02 The p value corresponding to t = -3.02 and 49 d.f. is 0.002 which is elfiner than the signifi endce level. The value of the test statistic is in the critical region and hence it is significant.

Therefore, we carry off the idle hypothesis at 5% level of import. The p-value is 0.002 which is small than the significance level. Hence in that location atomic number 18 0.002 chances that such a small value can observe when the null hypothesis is true. Since, this probability is smaller than the significance level we reject the null hypothesis at 5% level. Hence, we conclude that there is abounding express to support the managers contain that the average annual income was less than $50,000. b. The claim is that the true population parity of customers who plump in an urban area exceeds 40%. In the given up ideal of size 50, thirteen are from the Urban. The null hypothesis H0 is that the population proportion of customers who follow in an urban is 40%. H0:p = 0.40. The...If you want to get a expert essay, rig it on our website: Orderessay

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