Question 1

TABLE 9-2
A student claims that he can correctly identify whether a person is a business major or an agriculture major by the way the person dresses. Suppose in actuality that if someone is a business major, he can correctly identify that person as a business major 87% of the time. When a person is an agriculture major, the student will incorrectly identify that person as a business major 16% of the time. Presented with one person and asked to identify the major of this person (who is either a business or an agriculture major), he considers this to be a hypothesis test with the null hypothesis being that the person is a business major and the alternative that the person is an agriculture major.
-Referring to Table 9-2, what is the value of β?

Accepted Answer

A)  0.13 
B)  0.16 
C)  0.84 
D)  0.87

Question 2

TABLE 9-8
One of the biggest issues facing e-retailers is the ability to turn browsers into buyers. This is measured by the conversion rate, the percentage of browsers who buy something in their visit to a site. The conversion rate for a company's website was 10.1%. The website at the company was redesigned in an attempt to increase its conversion rates. A samples of 200 browsers at the redesigned site was selected. Suppose that 24 browsers made a purchase. The company officials would like to know if there is evidence of an increase in conversion rate at the 5% level of significance.
-Referring to Table 9-8, the null hypothesis will be rejected if the test statistic is

Accepted Answer

A)  greater than 1.645. 
B)  less than 1.645. 
C)  greater than -1.645. 
D)  less than -1.645.

Question 3

If a researcher rejects a true null hypothesis, she has made a ________ error.

Accepted Answer

The answer of If a researcher rejects a true null...

Question 4

TABLE 9-8
One of the biggest issues facing e-retailers is the ability to turn browsers into buyers. This is measured by the conversion rate, the percentage of browsers who buy something in their visit to a site. The conversion rate for a company's website was 10.1%. The website at the company was redesigned in an attempt to increase its conversion rates. A samples of 200 browsers at the redesigned site was selected. Suppose that 24 browsers made a purchase. The company officials would like to know if there is evidence of an increase in conversion rate at the 5% level of significance.
-Referring to Table 9-8, the company officials can conclude that there is sufficient evidence that the conversion rate at the company's website has increased using a level of significance of 0.05.

Accepted Answer

A) True 
 B)False

Question 5

TABLE 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 Table 9-5, the bank can conclude that the mean age is greater than 45 at a significance level of α = 0.01.

Accepted Answer

A) True 
 B)False

Question 6

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.

Accepted Answer

A)  significance level 
B)  critical value 
C)  test statistic 
D)  parameter

Question 7

TABLE 9-8
One of the biggest issues facing e-retailers is the ability to turn browsers into buyers. This is measured by the conversion rate, the percentage of browsers who buy something in their visit to a site. The conversion rate for a company's website was 10.1%. The website at the company was redesigned in an attempt to increase its conversion rates. A samples of 200 browsers at the redesigned site was selected. Suppose that 24 browsers made a purchase. The company officials would like to know if there is evidence of an increase in conversion rate at the 5% level of significance.
-Referring to Table 9-8, what critical value should the company officials use to determine the rejection region?

Accepted Answer

The answer of TABLE 9-8
One of the biggest issues facing...

Question 8

The power of a statistical test is

Accepted Answer

A)  the probability of not rejecting H₀ when it is false. 
B)  the probability of rejecting H₀ when it is true. 
C)  the probability of not rejecting H₀ when it is true. 
D)  the probability of rejecting H₀ when it is false.

Question 9

TABLE 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 an 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 Table 9-4, the value of the test statistic is ________.

Accepted Answer

The answer of TABLE 9-4
A drug company is considering marketing...

Question 10

TABLE 9-8
One of the biggest issues facing e-retailers is the ability to turn browsers into buyers. This is measured by the conversion rate, the percentage of browsers who buy something in their visit to a site. The conversion rate for a company's website was 10.1%. The website at the company was redesigned in an attempt to increase its conversion rates. A samples of 200 browsers at the redesigned site was selected. Suppose that 24 browsers made a purchase. The company officials would like to know if there is evidence of an increase in conversion rate at the 5% level of significance.
-Referring to Table 9-8, the largest level of significance at which the null hypothesis will not be rejected is ________.

Accepted Answer

The answer of TABLE 9-8
One of the biggest issues facing...

Question 11

TABLE 9-2
A student claims that he can correctly identify whether a person is a business major or an agriculture major by the way the person dresses. Suppose in actuality that if someone is a business major, he can correctly identify that person as a business major 87% of the time. When a person is an agriculture major, the student will incorrectly identify that person as a business major 16% of the time. Presented with one person and asked to identify the major of this person (who is either a business or an agriculture major), he considers this to be a hypothesis test with the null hypothesis being that the person is a business major and the alternative that the person is an agriculture major.
-Referring to Table 9-2, what is the "actual level of significance" of the test?

Accepted Answer

A)  0.13 
B)  0.16 
C)  0.84 
D)  0.87

Question 12

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 results in 83 who indicate that they recommend aspirin. The value of the test statistic in this problem is approximately equal to

Accepted Answer

A)  -4.12. 
B)  -2.33. 
C)  -1.86. 
D)  -0.07.

Question 13

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 18 versus the alternative hypothesis that the mean of the population differs from 18, the null hypothesis could be rejected at a level of significance of 0.05.

Accepted Answer

A) True 
 B)False

Question 14

A major DVD rental 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 the 20,000 households in the area are equipped with DVD players. It conducts a telephone poll of 300 randomly selected households in the area and finds that 96 have DVD players. The p-value associated with the test statistic in this problem is approximately equal to

Accepted Answer

A)  0.0100. 
B)  0.0051. 
C)  0.0026. 
D)  0.0013.

Question 15

TABLE 9-8
One of the biggest issues facing e-retailers is the ability to turn browsers into buyers. This is measured by the conversion rate, the percentage of browsers who buy something in their visit to a site. The conversion rate for a company's website was 10.1%. The website at the company was redesigned in an attempt to increase its conversion rates. A samples of 200 browsers at the redesigned site was selected. Suppose that 24 browsers made a purchase. The company officials would like to know if there is evidence of an increase in conversion rate at the 5% level of significance.
-Referring to Table 9-8, state the null hypothesis for this study.

Accepted Answer

The answer of TABLE 9-8
One of the biggest issues facing...

Question 16

Which of the following would be an appropriate alternative hypothesis?

Accepted Answer

A)  The mean of a population is equal to 55. 
B)  The mean of a sample is equal to 55. 
C)  The mean of a population is greater than 55. 
D)  The mean of a sample is greater than 55.

Question 17

TABLE 9-7
A major home improvement store conducted its biggest brand recognition campaign in the company's history. A series of new television advertisements featuring well-known entertainers and sports figures was launched. A key metric for the success of television advertisements is the proportion of viewers who "like the ads a lot." A study of 1,189 adults who viewed the ads reported that 230 indicated that they "like the ads a lot." The percentage of a typical television advertisement receiving the "like the ads a lot" score is believed to be 22%. Company officials wanted to know if there is evidence that the series of television advertisements are less successful than the typical ad (i.e. if there is evidence that the population proportion of "like the ads a lot" for the company's ads is less than 0.22) at a 0.01 level of significance.
-Referring to Table 9-7, state the null hypothesis for this study.

Accepted Answer

The answer of TABLE 9-7
A major home improvement store conducted...

Question 18

TABLE 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:
 
-Referring to Table 9-1, the null hypothesis would be rejected if a 5% probability of committing a Type I error is allowed.

Accepted Answer

A) True 
 B)False

Question 19

TABLE 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 Table 9-5, the null hypothesis would be rejected at a significance level of α = 0.01.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following statements is not true about the level of significance in a hypothesis test?

Accepted Answer

A)  The larger the level of significance, the more likely you are to reject the null hypothesis. 
B)  The level of significance is the maximum risk we are willing to accept in making a Type I error. 
C)  The significance level is also called the α level. 
D)  The significance level is another name for Type II error.

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

If a researcher rejects a true null hypothesis, she has made a ________ error.

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.

The power of a statistical test is

Which of the following would be an appropriate alternative hypothesis?

Which of the following statements is not true about the level of significance in a hypothesis test?