Question 1

What is a one-tail test?

Accepted Answer

A one-tail test is one in which a null hypothesis can be rejected by an extreme result in one direction only.

Question 2

What is a power curve and how is it applicable to hypothesis testing?

Accepted Answer

The power of a test is the probability that the test will respond correctly by rejecting a false null hypothesis.By calculating the power of the test (1 - $\beta$ )for several assumed values for the population mean and plotting the power (on the vertical axis)versus the population mean (on the horizontal axis),we arrive at the power curve.By looking at the power curve,we can get an idea of how powerful the hypothesis test is for different possible values of the population mean.

Question 3

Golf
A round of golf on your typical course requires at least 4.5 hours.A particular golf club claims that the average length of time to complete a round of golf on their course is less than 4.5 hours.To test this claim,the club sampled 15 golfers and recorded their time to finish their round.The sample average was 4.4 hours with a standard deviation of 0.8 hours.Assume the time to complete a round of golf is normally distributed and use $\alpha$ = 0.01.
-State your conclusions.

Accepted Answer

Since t = -0.484,we fail to reject the null hypothesis.There does not appear to be a basis for the claim that the average round of golf can be completed in less than 4.5 hours.

Question 4

Political candidate
A political candidate needs more then 50% of the votes to win the next election.In an effort to convince contributors to his campaign,he samples 800 potential voters of which 432 indicated they would vote for him.Use $\alpha$ = 0.05.
-What is the p-value?
What are your conclusions?

Accepted Answer

Since z = 2.26 and the p-value

Question 5

Determine the power for the following test of hypothesis,H0: $\mu$ = 950 vs.H1: $\mu \neq$ 950,given that $\mu$ = 1000, $\alpha$ = 0.10, $\text { σ }$ = 200,and n = 25.

Accepted Answer

Question 6

What standard error will be associated with this test?

Accepted Answer

The answer of What standard error will be associated with...

Question 7

What is a two-tail test?

Accepted Answer

A two-tail test is one in whic

Question 8

Adult drink
A particular study claims that the average U.S.adult drinks 1.7 cups of coffee per day.To test this claim,a sample of 35 adults were asked about their coffee consumption.The sample average was 1.95 cups per day.Assume the population standard deviation is 0.5 cups per day and set $\alpha$ = 0.10.
-What is your conclusion?

Accepted Answer

Since z =

Question 9

Use the given information to calculate the p-value and interpret the result:
H0: $\mu$ = 15,H1: $\mu \neq$ 15 $\text { σ }$ = 5,n = 10, $\bar { x }$ = 18.1, $\alpha$ = 0.03
p-value = ____________________
Interpretation: ____________________

Accepted Answer

0.05; 
Do

Question 10

The Admissions officer for the graduate programs at Michigan State University (MSU)believes that the average score on the GRE exam at his university is significantly higher than the national average of 1300.Assume that the population standard deviation is 125 and a random sample of 25 scores had an average of 1375.
A)State the appropriate null and alternative hypotheses.
H0: ____________________
H1: ____________________
B)Calculate the value of the test statistic.
C)What is your conclusion?

Accepted Answer

@#LAT-DLM& = 1300; @#LAT-DLM& > 1300; 3.

Question 11

The ____________________ will bound rejection and non-rejection regions for the null hypothesis.

Accepted Answer

critical v

Question 12

General Manager
The general manager of a large discount chain was considering location of a new store in a small mid-western city.The decision was dependent upon the per capita retail sales for the city being significantly greater than $4500.A sample of 500 residents was taken,and showed a mean of $4780.A population standard deviation of $2500 was known.
-What is your conclusion?

Accepted Answer

Reject H₀; there is enough stat

Question 13

Tobacco Industry
The tobacco industry advertised that the per capita number of cigarettes sold per year was 3700.An anti-smoking organization argued strongly that per capita consumption had declined.
-State the null and alternative hypotheses.

Accepted Answer

H<sub>0</s

Question 14

General Manager
The general manager of a large discount chain was considering location of a new store in a small mid-western city.The decision was dependent upon the per capita retail sales for the city being significantly greater than $4500.A sample of 500 residents was taken,and showed a mean of $4780.A population standard deviation of $2500 was known.
-State the decision rule for $\alpha$ = 0.01.

Accepted Answer

Reject H₀ if z > 2.33

Question 15

Bank
A bank holds the mortgage on a motel which the motel owner says has an average daily revenue of at least $2048.In the event the average is not at least $2048,the bank will ask the motel owner for additional collateral for the loan as protection against loan default.A loan officer is aware that the daily average revenue is normally distributed and randomly selects 20 days during the last six months.The sample has a mean of $2003 and standard deviation of $144.00.At the 0.01 level,is the bank loan financially sound (should the bank ask for additional collateral)?
-What is the decision rule?

Accepted Answer

Reject H₀ i

Question 16

Local Restaurant
A local restaurant claimed in an advertisement that at least 80% of their customers rate their establishment as "Excellent".An independent survey company asked 200 customers their opinion and from this random sample,168 customers rated the establishment "Excellent".Use $\alpha$ = 0.05.
-State the decision rule in terms of the critical value.

Accepted Answer

If z ≤ 1.645,reject

Question 17

General Manager
The general manager of a large discount chain was considering location of a new store in a small mid-western city.The decision was dependent upon the per capita retail sales for the city being significantly greater than $4500.A sample of 500 residents was taken,and showed a mean of $4780.A population standard deviation of $2500 was known.
-State the null and alternative hypotheses.
H0: ____________________
H1: ____________________

Accepted Answer

Question 18

Tail graph  
-Using the above graph,choose the answers that indicate a right-tail test:
Area 1: ____________________
Area 2: ____________________
Area 3: ____________________

Accepted Answer

Do not rej

Question 19

Golf
A round of golf on your typical course requires at least 4.5 hours.A particular golf club claims that the average length of time to complete a round of golf on their course is less than 4.5 hours.To test this claim,the club sampled 15 golfers and recorded their time to finish their round.The sample average was 4.4 hours with a standard deviation of 0.8 hours.Assume the time to complete a round of golf is normally distributed and use $\alpha$ = 0.01.
-Use the following information to test at a 0.01 level of significance.n = 400; p = 0.03;
H0: $\pi \geq$ 0.05,H1: $\pi$ < 0.05.
Compute the test statistic.
Appropriate test: ____________________
Test statistic = ____________________

Accepted Answer

Question 20

A portfolio manager was analyzing the price-earnings ratio for this year's performance.His boss said that the average price-earnings ratio was 20 for the many stocks,which his firm had traded,but he felt that figure was too high.The portfolio manager randomly selected a sample of 50 P/E ratios and found a mean of 18.17 and standard deviation of 4.60.Assume that the population is normally distributed and test at the 0.01 level of significance.
The decision rule is: Reject H0 if the calculated z > 2.33.

Accepted Answer

A) True 
 B)False

What is a one-tail test?

What is a power curve and how is it applicable to hypothesis testing?

Determine the power for the following test of hypothesis,H₀: $\mu$ = 950 vs.H₁: $\mu \neq$ 950,given that $\mu$ = 1000, $\alpha$ = 0.10, $\text { σ }$ = 200,and n = 25.

What standard error will be associated with this test?

What is a two-tail test?

Use the given information to calculate the p-value and interpret the result: H₀: $\mu$ = 15,H₁: $\mu \neq$ 15 $\text { σ }$ = 5,n = 10, $\bar { x }$ = 18.1, $\alpha$ = 0.03 p-value = Interpretation:

The ____________________ will bound rejection and non-rejection regions for the null hypothesis.

Tobacco Industry The tobacco industry advertised that the per capita number of cigarettes sold per year was 3700.An anti-smoking organization argued strongly that per capita consumption had declined. -State the null and alternative hypotheses.

Tail graph -Using the above graph,choose the answers that indicate a right-tail test: Area 1: Area 2: Area 3:

A Preview of Business Statistics

Visual Description of Data

Statistical Description of Data

Data Collection and Sampling Methods

Probability: Review of Basic Concepts

Discrete Probability Distributions

Continuous Probability Distributions

Sampling Distributions

Estimation From Sample Data

Hypothesis Tests Involving Two Sample Means

Analysis of Variance Tests

Chi-Square Applications

Nonparametric Methods

Simple Linear Regression and Correlation

Multiple Regression and Correlation

Model Building

Models for Time Series and Forecasting

Decision Theory

Total Quality Management

Filters

Exam 10: Hypothesis Tests Involving a Sample Mean or Proportion

What is a one-tail test?

What is a power curve and how is it applicable to hypothesis testing?

Determine the power for the following test of hypothesis,H0: μ\muμ = 950 vs.H1: μ≠\mu \neqμ= 950,given that μ\muμ = 1000, α\alphaα = 0.10, σ \text { σ } σ = 200,and n = 25.

What standard error will be associated with this test?

What is a two-tail test?

Use the given information to calculate the p-value and interpret the result: H0: μ\muμ = 15,H1: μ≠\mu \neqμ= 15 σ \text { σ } σ = 5,n = 10, xˉ\bar { x }xˉ = 18.1, α\alphaα = 0.03 p-value = ____________________ Interpretation: ____________________

The ____________________ will bound rejection and non-rejection regions for the null hypothesis.

Tobacco Industry The tobacco industry advertised that the per capita number of cigarettes sold per year was 3700.An anti-smoking organization argued strongly that per capita consumption had declined. -State the null and alternative hypotheses.

Tail graph -Using the above graph,choose the answers that indicate a right-tail test: Area 1: ____________________ Area 2: ____________________ Area 3: ____________________

A Preview of Business Statistics

Visual Description of Data

Statistical Description of Data

Data Collection and Sampling Methods

Probability: Review of Basic Concepts

Discrete Probability Distributions

Continuous Probability Distributions

Sampling Distributions

Estimation From Sample Data

Hypothesis Tests Involving Two Sample Means

Analysis of Variance Tests

Chi-Square Applications

Nonparametric Methods

Simple Linear Regression and Correlation

Multiple Regression and Correlation

Model Building

Models for Time Series and Forecasting

Decision Theory

Total Quality Management

Filters

Determine the power for the following test of hypothesis,H₀: $\mu$ = 950 vs.H₁: $\mu \neq$ 950,given that $\mu$ = 1000, $\alpha$ = 0.10, $\text { σ }$ = 200,and n = 25.

Use the given information to calculate the p-value and interpret the result: H₀: $\mu$ = 15,H₁: $\mu \neq$ 15 $\text { σ }$ = 5,n = 10, $\bar { x }$ = 18.1, $\alpha$ = 0.03 p-value = Interpretation:

Tail graph -Using the above graph,choose the answers that indicate a right-tail test: Area 1: Area 2: Area 3: