SOLUTION: consider the hypothesis test with Null hypothesis H0: u= 500 alternative hypothesis H1 u not equal 500 (this is two-tailed test) In a random sample of 81 subjects, the sampl

Question 884233: consider the hypothesis test with
Null hypothesis H0: u= 500
alternative hypothesis H1 u not equal 500 (this is two-tailed test)
In a random sample of 81 subjects, the sample mean found to be x=492. Population standard deviation is 36.
1. Calculate test statistics and find p-value for this test
2. With significance level a=0.02 (two tail test) make the decision: accept or reject H0. Explain your decision.
Answer by Theo(13342) (Show Source): You can put this solution on YOUR website!
test assumption is that the mean is not equal to 500.
sample size = 81
sample mean = 492
population standard deviation = 36.

standard error = population standard deviation divided by square root of sample size = 36 / sqrt(81) = 36/9 = 4

z score = (sample mean minus popjulation mean) / standard error = (492 - 500) / 4 = -8/4 = -2

test alpha = .0228 from the z score table. this is the area under the distribution curve that is to the left of a z score of -2.

since the critical alpha = .02 and the test alpha is greater than this, the results are not statistically significant and you do not reject the null hypothesis in favor of the alternate hypothesis.

z score table used can be found at the following link:
http://lilt.ilstu.edu/dasacke/eco148/ztable.htm
RELATED QUESTIONS
#18 Test the claim that the mean GPA of night students is smaller than 2.1 at the 0.005... (answered by Boreal)

Test the claim that the mean GPA of night students is significantly different than 2.9 at (answered by Edwin McCravy)

Test the claim that the mean GPA of Orange Coast students is smaller than the mean GPA of (answered by Boreal)

Test the claim that the proportion of men that own cats is significantly different than... (answered by Boreal)

Could someone please tell me if these answers are correct - thanks According to a 2003... (answered by rothauserc)

#19 Test the claim that the proportion of people who own cats is larger than 90% at the... (answered by Boreal)

nEED HELP WITH LOWER, UPPER AND P VALUE Is there a relationship between confidence... (answered by Boreal)

For 20 corporations, we found that the correlation coefficient between financial... (answered by stanbon)

Stuck on p value. Thanks for help! Is there a relationship between confidence intervals (answered by Boreal)