Question 13 Marks
Consider the following hypothesis test:
$H _0: \mu=15$
$
H_{a}: \mu \neq 15
$
A sample of 50 provided a sample mean of 14.15. The population standard deviation is 3.
i. Compute the value of the test statistic.
ii. What is the p-value?
iii. At $\alpha=0.05$, what is your conclusion?
iv. What is the rejection rule using the critical value? What is your conclusion?
$H _0: \mu=15$
$
H_{a}: \mu \neq 15
$
A sample of 50 provided a sample mean of 14.15. The population standard deviation is 3.
i. Compute the value of the test statistic.
ii. What is the p-value?
iii. At $\alpha=0.05$, what is your conclusion?
iv. What is the rejection rule using the critical value? What is your conclusion?
Answer
View full question & answer→Given $\mu_0=15, n =50, \bar{x}=14.15, \sigma=3$
$
\begin{array}{l}
\text { i. } Z=\frac{\bar{x}-\mu_0}{\frac{\sigma}{\sqrt{n}}}=\frac{14.15-15}{\frac{3}{\sqrt{50}}}=\frac{-0.85 \times \sqrt{50}}{3} \\
=-2.003 \\
\therefore Z=-2 \\
\text { ii. } \because Z=-2<0
\end{array}
$
So, $p$-value $=2$ (Area under the standard normal curve to the left of $Z$)
$
\begin{array}{l}
=2 \times(0.0228)=0.0456 \\
\therefore p \text {-value }=0.0456
\end{array}
$
iii. $\because$ p-value $<0.05($ Given $\alpha=0.05)$
So, reject $H _0$
iv. Reject $H _0$ if $Z \leq-Z_{\frac{\alpha}{2}}$
$
\begin{array}{l}
\because-Z_{\frac{\alpha}{2}}=-Z_{0.025}=-1.96 \\
\because-2<-1.96
\end{array}
$
So, reject $H _0$
$
\begin{array}{l}
\text { i. } Z=\frac{\bar{x}-\mu_0}{\frac{\sigma}{\sqrt{n}}}=\frac{14.15-15}{\frac{3}{\sqrt{50}}}=\frac{-0.85 \times \sqrt{50}}{3} \\
=-2.003 \\
\therefore Z=-2 \\
\text { ii. } \because Z=-2<0
\end{array}
$
So, $p$-value $=2$ (Area under the standard normal curve to the left of $Z$)
$
\begin{array}{l}
=2 \times(0.0228)=0.0456 \\
\therefore p \text {-value }=0.0456
\end{array}
$
iii. $\because$ p-value $<0.05($ Given $\alpha=0.05)$
So, reject $H _0$
iv. Reject $H _0$ if $Z \leq-Z_{\frac{\alpha}{2}}$
$
\begin{array}{l}
\because-Z_{\frac{\alpha}{2}}=-Z_{0.025}=-1.96 \\
\because-2<-1.96
\end{array}
$
So, reject $H _0$
