Exam 9: Fundamentals of Hypothesis Testing: One-Sample Tests

SCENARIO 9-5 A bank tests the null hypothesis that the mean age of the bank's mortgage holders is less than or equal to 45 years, versus an alternative that the mean age is greater than 45 years.They take a sample and calculate a p-value of 0.0202. -Referring to Scenario 9-5, the bank can conclude there is insufficient evidence to conclude that the mean age is greater than 45 years at a significance level of $\alpha$ = 0.01.

If an economist wishes to determine whether there is evidence that mean family income in a community equals $50,000

A is a numerical quantity computed from the data of a sample and is used in reaching a decision on whether or not to reject the null hypothesis.

SCENARIO 9-1 Microsoft Excel was used on a set of data involving the number of defective items found in a random sample of 46 cases of light bulbs produced during a morning shift at a plant.A manager wants to know if the mean number of defective bulbs per case is greater than 20 during the morning shift.She will make her decision using a test with a level of significance of 0.10.The following information was extracted from the Microsoft Excel output for the sample of 46 cases: $n = 46 ;$ Arithmetic Mean $= 28.00 ;$ Standard Deviation $= 25.92 ;$ Standard Error $= 3.82 ;$ Null Hypothesis: $H _ { 0 } : \mu \leq 20 ; \alpha = 0.10 ; \mathrm { df } = 45 ; T$ Test Statistic $= 2.09$ ; One-Tail Test Upper Critical Value $= 1.3006 ; p$ -value $= 0.021 ;$ Decision $=$ Reject. -Referring to Scenario 9-1, the manager can conclude that there is sufficient evidence to show that the mean number of defective bulbs per case is greater than 20 during the morning shift with no more than a 1% probability of incorrectly rejecting the true null hypothesis.

Suppose, in testing a hypothesis about a mean, the p-value is computed to be 0.034.The null hypothesis should be rejected if the chosen level of significance is0.01.

SCENARIO 9-9 The president of a university claimed that the entering class this year appeared to be larger than the entering class from previous years, but their mean SAT score is lower than previous years.He took a sample of 20 of this year's entering students and found that their mean SAT score is 1,501 with a standard deviation of 53.The university's record indicates that the mean SAT score for entering students from previous years is 1,520.He wants to find out if his claim is supported by the evidence at a 5% level of significance. -Referring to Scenario 9-9, the president can conclude that there is sufficient evidence to show that the mean SAT score of the entering class this year is lower than previous years with no more than a 5% probability of incorrectly rejecting the true null hypothesis.

SCENARIO 9-9 The president of a university claimed that the entering class this year appeared to be larger than the entering class from previous years, but their mean SAT score is lower than previous years.He took a sample of 20 of this year's entering students and found that their mean SAT score is 1,501 with a standard deviation of 53.The university's record indicates that the mean SAT score for entering students from previous years is 1,520.He wants to find out if his claim is supported by the evidence at a 5% level of significance. -Referring to Scenario 9-9, the lowest level of significance at which the null hypothesis can still be rejected is .

SCENARIO 9-3 An appliance manufacturer claims to have developed a compact microwave oven that consumes a mean of no more than 250 W.From previous studies, it is believed that power consumption for microwave ovens is normally distributed with a population standard deviation of 15 W.A consumer group has decided to try to discover if the claim appears true.They take a sample of 20 microwave ovens and find that they consume a mean of 257.3 W. -Referring to Scenario 9-3, the null hypothesis will be rejected at 5%level of significance.

SCENARIO 9-9 The president of a university claimed that the entering class this year appeared to be larger than the entering class from previous years, but their mean SAT score is lower than previous years.He took a sample of 20 of this year's entering students and found that their mean SAT score is 1,501 with a standard deviation of 53.The university's record indicates that the mean SAT score for entering students from previous years is 1,520.He wants to find out if his claim is supported by the evidence at a 5% level of significance. -Referring to Scenario 9-9, the parameter the president is interested in is:

A Type I error is committed when

True or False In setting up a hypothesis test, you consider the null hypothesis as stating the status quo claim.

SCENARIO 9-4 A drug company is considering marketing a new local anesthetic.The effective time of the anesthetic the drug company is currently producing has a normal distribution with a mean of 7.4 minutes with a standard deviation of 1.2 minutes.The chemistry of the new anesthetic is such that the effective time should be normally distributed with the same standard deviation, but the mean effective time may be lower.If it is lower, the drug company will market the new anesthetic; otherwise, they will continue to produce the older one.A sample of size 36 results in a sample mean of 7.1.A hypothesis test will be done to help make the decision. -Referring to Scenario 9-4, the null hypothesis will be rejected with a level of significance of 0.10.

The value that separates a rejection region from a non-rejection region is called the.

A sample is used to obtain a 95% confidence interval for the mean of a population.The confidence interval goes from 15 to 19.If the same sample had been used to test the null hypothesis that the mean of the population is equal to 20 versus thealternative hypothesis that the mean of the population differs from 20, the null hypothesis could be rejected at a level of significance of 0.05.

A pizza chain is considering opening a new store in an area that currently does not have any such stores.The chain will open if there is evidence that more than 5,000 of the20,000 households in the area have a favorable view of its brain.It conducts a telephone poll of 300 randomly selected households in the area and finds that 96 have a favorable view.The p-value associated with the test statistic in this problem is approximately equal to:

SCENARIO 9-1 Microsoft Excel was used on a set of data involving the number of defective items found in a random sample of 46 cases of light bulbs produced during a morning shift at a plant.A manager wants to know if the mean number of defective bulbs per case is greater than 20 during the morning shift.She will make her decision using a test with a level of significance of 0.10.The following information was extracted from the Microsoft Excel output for the sample of 46 cases: $n = 46 ;$ Arithmetic Mean $= 28.00 ;$ Standard Deviation $= 25.92 ;$ Standard Error $= 3.82 ;$ Null Hypothesis: $H _ { 0 } : \mu \leq 20 ; \alpha = 0.10 ; \mathrm { df } = 45 ; T$ Test Statistic $= 2.09$ ; One-Tail Test Upper Critical Value $= 1.3006 ; p$ -value $= 0.021 ;$ Decision $=$ Reject. -Referring to Scenario 9-1, if these data were used to perform a two-tail test, the p-value would be 0.042.

A sample is used to obtain a 95% confidence interval for the mean of a population.The confidence interval goes from 15 to 19.If the same sample had been used to test the null hypothesis that the mean of the population is equal to 20 versus thealternative hypothesis that the mean of the population differs from 20, the null hypothesis could be accepted at a level of significance of 0.01.

A survey claims that 9 out of 10 doctors recommend aspirin for their patients with headaches.To test this claim against the alternative that the actual proportion of doctors who recommend aspirin is less than 0.90, a random sample of 100 doctors was selected.Suppose you reject the null hypothesis.What conclusion can you reach?

SCENARIO 9-4 A drug company is considering marketing a new local anesthetic.The effective time of the anesthetic the drug company is currently producing has a normal distribution with a mean of 7.4 minutes with a standard deviation of 1.2 minutes.The chemistry of the new anesthetic is such that the effective time should be normally distributed with the same standard deviation, but the mean effective time may be lower.If it is lower, the drug company will market the new anesthetic; otherwise, they will continue to produce the older one.A sample of size 36 results in a sample mean of 7.1.A hypothesis test will be done to help make the decision. -Referring to Scenario 9-4, for a test with a level of significance of 0.10, the critical value would be .

SCENARIO 9-9 The president of a university claimed that the entering class this year appeared to be larger than the entering class from previous years, but their mean SAT score is lower than previous years.He took a sample of 20 of this year's entering students and found that their mean SAT score is 1,501 with a standard deviation of 53.The university's record indicates that the mean SAT score for entering students from previous years is 1,520.He wants to find out if his claim is supported by the evidence at a 5% level of significance. -Referring to Scenario 9-9, the highest level of significance at which the null hypothesis cannot be rejected is .