# Hypothesis Testing. Bluman Chapter 8

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1 CHAPTER 8 Learning Objectives C H A P T E R E I G H T Hypothesis Testing 1 Outline 8-1 Steps in Traditional Method 8-2 z Test for a Mean 8-3 t Test for a Mean 8-4 z Test for a Proportion Test for a Variance or Standard Deviation 8-6 Additional Topics Regarding Hypothesis Testing 1 Understand the definitions used in hypothesis testing. 2 State the null and alternative hypotheses. 3 Find critical values for the z test. 4 State the five steps used in hypothesis testing. 5 Test means when is known, using the z test. 6 Test means when is unknown, using the t test. 7 Test proportions, using the z test. Learning Objectives 8 Test variances or standard deviations, using the chisquare test. 9 Test hypotheses, using confidence intervals. 10 Explain the relationship between type I and type II errors and the power of a test. Three methods used to test hypotheses: 1. The traditional method 2. The P-value method 3. The confidence interval method 8.1 Steps in - Traditional Method A statistical hypothesis is a conjecture about a population parameter. This conjecture may or may not be true. The null hypothesis, symbolized by H 0, is a statistical hypothesis that states that there is no difference between a parameter and a specific value, or that there is no difference between two parameters

2 Steps in - Traditional Method The alternative hypothesis, symbolized by H 1, is a statistical hypothesis that states the existence of a difference between a parameter and a specific value, or states that there is a difference between two parameters. Situation A A medical researcher is interested in finding out whether a new medication will have any undesirable side effects. The researcher is particularly concerned with the pulse rate of the patients who take the medication. Will the pulse rate increase, decrease, or remain unchanged after a patient takes the medication? The researcher knows that the mean pulse rate for the population under study is 82 beats per minute. The hypotheses for this situation are H : 82 0 H : 82 1 This is called a two-tailed hypothesis test. Situation B A chemist invents an additive to increase the life of an automobile battery. The mean lifetime of the automobile battery without the additive is 36 months. In this book, the null hypothesis is always stated using the equals sign. The hypotheses for this situation are H : 36 0 H : 36 1 This is called a right-tailed hypothesis test Situation C A contractor wishes to lower heating bills by using a special type of insulation in houses. If the average of the monthly heating bills is \$78, her hypotheses about heating costs with the use of insulation are H : 78 0 H : 78 1 This is called a left-tailed hypothesis test. Claim When a researcher conducts a study, he or she is generally looking for evidence to support a claim. Therefore, the claim should be stated as the alternative hypothesis, or research hypothesis. A claim, though, can be stated as either the null hypothesis or the alternative hypothesis; however, the statistical evidence can only support the claim if it is the alternative hypothesis. Statistical evidence can be used to reject the claim if the claim is the null hypothesis. These facts are important when you are stating the conclusion of a statistical study. After stating the hypotheses, the researcher s next step is to design the study. The researcher selects the correct statistical test, chooses an appropriate level of significance, and formulates a plan for conducting the study

3 A statistical test uses the data obtained from a sample to make a decision about whether the null hypothesis should be rejected. The numerical value obtained from a statistical test is called the test value. In the hypothesis-testing situation, there are four possible outcomes. In reality, the null hypothesis may or may not be true, and a decision is made to reject or not to reject it on the basis of the data obtained from a sample. A type I error occurs if one rejects the null hypothesis when it is true. A type II error occurs if one does not reject the null hypothesis when it is false The level of significance is the maximum probability of committing a type I error. This probability is symbolized by a (alpha). That is, P(type I error) = a. Likewise, Typical significance levels are: 0.10, 0.05, and 0.01 For example, when a = 0.10, there is a 10% chance of rejecting a true null hypothesis. The critical or rejection region is the range of values of the test value that indicates that there is a significant difference and that the null hypothesis should be rejected. The noncritical or nonrejection region is the range of values of the test value that indicates that the difference was probably due to chance and that the null hypothesis should not be rejected. P(type II error) = b (beta). The critical value, C.V., separates the critical region from the noncritical region

4 Finding the Critical Value for α = 0.01 (Right-Tailed Test) Finding the Critical Value for α = 0.01 (Left-Tailed Test) Finding the Critical Value for α = 0.01 (Two-Tailed Test) z = ±2.58 z = 2.33 for α = 0.01 (Right-Tailed Test) Because of symmetry, z = 2.33 for α = 0.01 (Left-Tailed Test) Procedure Table Finding the Critical Values for Specific α Values, Using Table E Step 1 Draw the figure and indicate the appropriate area. a. If the test is left-tailed, the critical region, with an area equal to α, will be on the left side of the mean. b. If the test is right-tailed, the critical region, with an area equal to α, will be on the right side of the mean. c. If the test is two-tailed, α must be divided by 2; one-half of the area will be to the right of the mean, and one-half will be to the left of the mean. Procedure Table Finding the Critical Values for Specific α Values, Using Table E Step 2 a. For a left-tailed test, use the z value that corresponds to the area equivalent to α in Table E. b. For a right-tailed test, use the z value that corresponds to the area equivalent to 1 α. c. For a two-tailed test, use the z value that corresponds to α/2 for the left value. It will be negative. For the right value, use the z value that corresponds to the area equivalent to 1 α/2. It will be positive. Section 8-1 Example 8-2 Page #

5 Example 8-2: Using Table E Using Table E in Appendix C, find the critical value(s) for each situation and draw the appropriate figure, showing the critical region. a. A left-tailed test with α = Step 1 Draw the figure and indicate the appropriate area. Example 8-2: Using Table E Using Table E in Appendix C, find the critical value(s) for each situation and draw the appropriate figure, showing the critical region. b. A two-tailed test with α = Step 1 Draw the figure with areas α /2 = 0.02/2 = Example 8-2: Using Table E Using Table E in Appendix C, find the critical value(s) for each situation and draw the appropriate figure, showing the critical region. c. A right-tailed test with α = Step 1 Draw the figure and indicate the appropriate area. Step 2 Find the area closest to in Table E. In this case, it is The z value is Step 2 Find the areas closest to 0.01 and The areas are and The z values are 2.33 and Step 2 Find the area closest to 1 α = There is a tie: and Average the z values of 2.57 and 2.58 to get or Procedure Table Solving Hypothesis-Testing Problems (Traditional Method) Step 1 Step 2 Step 3 Step 4 Step 5 State the hypotheses and identify the claim. Find the critical value(s) from the appropriate table in Appendix C. Compute the test value. Make the decision to reject or not reject the null hypothesis. Summarize the results. 8.2 z Test for a Mean The z test is a statistical test for the mean of a population. It can be used when n 30, or when the population is normally distributed and is known. The formula for the z test is X z n where X = sample mean μ = hypothesized population mean = population standard deviation n = sample size 29 Section 8-2 Example 8-3 Page #

6 Example 8-3: Intelligence Tests In Pennsylvania the average IQ score is The variable is normally distributed, and the population standard deviation is 15. A school superintendent claims that the students in her school district have an IQ higher than the average of She selects a random sample of 30 students and finds the mean of the test scores is Test the claim at a Example 8-3: Intelligence Tests Step 1 State the hypotheses and identify the claim. Step 2 Find the critical value. Since α = 0.05 and the test is a right-tailed test, the critical value is z = Example 8-3: Intelligence Tests Step 4 Make the decision. Since the test value, 1.79, is greater than the critical value, 1.65, the decision is to reject the null hypothesis. Step 3 Compute the test value Example 8-3: Days on Dealers Lots Step 5 Summarize the results. There is enough evidence to support the claim that the IQ of the students is higher than the state average IQ. Important Comments In Example 8 3, the difference is said to be statistically significant. However, when the null hypothesis is rejected, there is always a chance of a type I error. In this case, the probability of a type I error is at most 0.05, or 5%. Section 8-2 Example 8-4 Page #

7 Example 8-4: SAT Tests For a specific year, the average score on the SAT Math test was 515.* The variable is normally distributed, and the population standard deviation is 100. The same superintendent in the previous example wishes to see if her students scored significantly below the national average on the test. She randomly selected 36 student scores, as shown. At a 0.10, is there enough evidence to support the claim? Example 8-4: SAT Tests Step 1: Find the critical value. State the hypotheses and identify the claim. Step 2: Find the critical value. Since α = 0.10 and the test is a left-tailed test, the critical value is z = Example 8-4: SAT Tests Step 3: Compute the test value. Since the exercise gives raw data find the mean of the data. X Example 8-4: SAT Tests Since the test value, 1.36, falls in the noncritical region, the decision is to not reject the null hypothesis. There is not enough evidence to support the claim that the students scored below the national average. Section 8-2 Example 8-5 Page #422 Example 8-5: Cost of Rehabilitation The Medical Rehabilitation Education Foundation reports that the average cost of rehabilitation for stroke victims is \$24,672. To see if the average cost of rehabilitation is different at a particular hospital, a researcher selects a random sample of 35 stroke victims at the hospital and finds that the average cost of their rehabilitation is \$26,343. The standard deviation of the population is \$3251. At α = 0.01, can it be concluded that the average cost of stroke rehabilitation at a particular hospital is different from \$24,672? H 0 : μ = \$24,672 and H 1 : μ \$24,672 (claim)

8 Example 8-5: Cost of Rehabilitation The Medical Rehabilitation Education Foundation reports that the average cost of rehabilitation for stroke victims is \$24,672. To see if the average cost of rehabilitation is different at a particular hospital, a researcher selects a random sample of 35 stroke victims at the hospital and finds that the average cost of their rehabilitation is \$26,343. The standard deviation of the population is \$3251. At α = 0.01, can it be concluded that the average cost of stroke rehabilitation at a particular hospital is different from \$24,672? Step 2: Find the critical value. Since α = 0.01 and a two-tailed test, the critical values are z = ±2.58. Example 8-5: Cost of Rehabilitation Step 3: Find the test value. z X 26,343 24, n Example 8-5: Cost of Rehabilitation Reject the null hypothesis, since the test value falls in the critical region. There is enough evidence to support the claim that the average cost of rehabilitation at the particular hospital is different from \$24, The P-value (or probability value) is the probability of getting a sample statistic (such as the mean) or a more extreme sample statistic in the direction of the alternative hypothesis when the null hypothesis is true. Decision rule when using a P-value If P-value a, reject the null hypothesis If P-value > a, do not reject the null hypothesis Procedure Table Solving Hypothesis-Testing Problems (P-Value Method) Step 1 State the hypotheses and identify the claim. Step 2 Compute the test value. Step 3 Step 4 Find the P-value. Make the decision Step 5 Summarize the results. 8

9 Section 8-2 Example 8-6 Page #424 Example 8-6: Cost of College Tuition A researcher wishes to test the claim that the average cost of tuition and fees at a four-year public college is greater than \$5700. She selects a random sample of 36 four-year public colleges and finds the mean to be \$5950. The population standard deviation is \$659. Is there evidence to support the claim at a 0.05? Use the P-value method. H 0 : μ = \$5700 and H 1 : μ > \$5700 (claim) Example 8-6: Cost of College Tuition A researcher wishes to test the claim that the average cost of tuition and fees at a four-year public college is greater than \$5700. She selects a random sample of 36 four-year public colleges and finds the mean to be \$5950. The population standard deviation is \$659. Is there evidence to support the claim at a 0.05? Use the P-value method. Step 2: Compute the test value. z X n Example 8-6: Cost of College Tuition A researcher wishes to test the claim that the average cost of tuition and fees at a four-year public college is greater than \$5700. She selects a random sample of 36 four-year public colleges and finds the mean to be \$5950. The population standard deviation is \$659. Is there evidence to support the claim at a 0.05? Use the P-value method. Step 3: Find the P-value. Using Table E, find the area for z = The area is Subtract from to find the area of the tail. Hence, the P-value is = Example 8-6: Cost of College Tuition Since the P-value is less than 0.05, the decision is to reject the null hypothesis. There is enough evidence to support the claim that the tuition and fees at four-year public colleges are greater than \$5700. Note: If α = 0.01, the null hypothesis would not be rejected. Section 8-2 Example 8-7 Page #

10 Example 8-7: Wind Speed A researcher claims that the average wind speed in a certain city is 8 miles per hour. A sample of 32 days has an average wind speed of 8.2 miles per hour. The standard deviation of the population is 0.6 mile per hour. At α = 0.05, is there enough evidence to reject the claim? Use the P-value method. Example 8-7: Wind Speed A researcher claims that the average wind speed in a certain city is 8 miles per hour. A sample of 32 days has an average wind speed of 8.2 miles per hour. The standard deviation of the population is 0.6 mile per hour. At α = 0.05, is there enough evidence to reject the claim? Use the P-value method. Example 8-7: Wind Speed The decision is to not reject the null hypothesis, since the P-value is greater than H 0 : μ = 8 (claim) and H 1 : μ 8 Step 2: Compute the test value. z X n Step 3: Find the P-value. The area for z = 1.89 is Subtract: = Since this is a two-tailed test, the area of must be doubled to get the P-value. The P-value is 2(0.0294) = There is not enough evidence to reject the claim that the average wind speed is 8 miles per hour Guidelines for P-Values With No α Significance 8.3 t Test for a Mean If P-value 0.01, reject the null hypothesis. The difference is highly significant. If P-value > 0.01 but P-value 0.05, reject the null hypothesis. The difference is significant. If P-value > 0.05 but P-value 0.10, consider the consequences of type I error before rejecting the null hypothesis. If P-value > 0.10, do not reject the null hypothesis. The difference is not significant. The researcher should distinguish between statistical significance and practical significance. When the null hypothesis is rejected at a specific significance level, it can be concluded that the difference is probably not due to chance and thus is statistically significant. However, the results may not have any practical significance. It is up to the researcher to use common sense when interpreting the results of a statistical test. The t test is a statistical test for the mean of a population and is used when the population is normally or approximately normally distributed, is unknown. The formula for the t test is t X s n The degrees of freedom are d.f. = n 1. Note: When the degrees of freedom are above 30, some textbooks will tell you to use the nearest table value; however, in this textbook, you should round down to the nearest table value. This is a conservative approach

11 Section 8-3 Example 8-8 Page #434 Example 8-8: Table F Find the critical t value for α = 0.05 with d.f. = 16 for a right-tailed t test. Find the 0.05 column in the top row and 16 in the left-hand column. The critical t value is Section 8-3 Examples 8-9 & 8-10 Page # Example 8-9: Table F Find the critical t value for α = 0.01 with d.f. = 22 for a lefttailed test. Find the 0.01 column in the One tail row, and 22 in the d.f. column. The critical value is t = since the test is a one-tailed left test. Example 8-10: Table F Find the critical value for α = 0.10 with d.f. = 18 for a twotailed t test. Find the 0.10 column in the Two tails row, and 18 in the d.f. column. The critical values are and Section 8-3 Example 8-12 Page #436 Example 8-12: Hospital Infections A medical investigation claims that the average number of infections per week at a hospital in southwestern Pennsylvania is A random sample of 10 weeks had a mean number of 17.7 infections. The sample standard deviation is 1.8. Is there enough evidence to reject the investigator s claim at α = 0.05? H 0 : μ = 16.3 (claim) and H 1 : μ 16.3 Step 2: Find the critical value. The critical values are and for α = 0.05 and d.f. =

12 Example 8-12: Hospital Infections A medical investigation claims that the average number of infections per week at a hospital in southwestern Pennsylvania is A random sample of 10 weeks had a mean number of 17.7 infections. The sample standard deviation is 1.8. Is there enough evidence to reject the investigator s claim at α = 0.05? Step 3: Find the test value. z X s n Example 8-12: Hospital Infections Reject the null hypothesis since 2.46 > There is enough evidence to reject the claim that the average number of infections is Section 8-3 Example 8-13 Page # Example 8-13: Starting Nurse Salary According to payscale.com, the average starting salary for a nurse practitioner is \$79,500. A researcher wishes to test the claim that the starting salary is less than \$79,500. A random sample of 8 starting nurse practitioners is selected, and their starting salaries (in dollars) are shown. Is there enough evidence to support the researcher s claim at a 0.10? Assume the variable is normally distributed. 82,000 68,000 70,200 75,600 83,500 64,300 78,600 79,000 Step 2: Find the critical value. At α = 0.10 and d.f. = 7, the critical value is Example 8-13: Starting Nurse Salary Step 3: Find the test value. Compute the test value. In this case, the mean and standard deviation must be found. Use the formulas in Chapter 3 or your calculator. X = \$75,150 and s = \$6, Example 8-12: Starting Nurse Salary Do not reject the null hypothesis since falls in the critical region. There is enough evidence to support the claim that the average starting salary for nurse practitioners is less than \$79,

13 Section 8-3 Example 8-16 Page #439 Example 8-16: Jogger s Oxygen Uptake A physician claims that joggers maximal volume oxygen uptake is greater than the average of all adults. A sample of 15 joggers has a mean of 40.6 milliliters per kilogram (ml/kg) and a standard deviation of 6 ml/kg. If the average of all adults is 36.7 ml/kg, is there enough evidence to support the physician s claim at α = 0.05? H 0 : μ = 36.7 and H 1 : μ > 36.7 (claim) Step 2: Compute the test value. t X s n 6 15 Example 8-16: Jogger s Oxygen Uptake A physician claims that joggers maximal volume oxygen uptake is greater than the average of all adults. A sample of 15 joggers has a mean of 40.6 milliliters per kilogram (ml/kg) and a standard deviation of 6 ml/kg. If the average of all adults is 36.7 ml/kg, is there enough evidence to support the physician s claim at α = 0.05? Step 3: Find the P-value. In the d.f. = 14 row, falls between and 2.624, corresponding to α = and α = Thus, the P-value is somewhere between 0.01 and 0.025, since this is a one-tailed test Example 8-16: Jogger s Oxygen Uptake The decision is to reject the null hypothesis, since the P-value < There is enough evidence to support the claim that the joggers maximal volume oxygen uptake is greater than 36.7 ml/kg. 76 Whether to use z or t z Test for a Proportion Since a normal distribution can be used to approximate the binomial distribution when np 5 and nq 5, the standard normal distribution can be used to test hypotheses for proportions. The formula for the z test for a proportion is ˆ z p p pq n where X pˆ sample proportion n p population proportion n sample size 78 13

14 Section 8-4 Example 8-17 Page #446 Example 8-17: Obese Young People A researcher claims that based on the information obtained from the Centers for Disease Control and Prevention, 17% of young people ages 2 19 are obese. To test this claim, she randomly selected 200 people ages 2 19 and found that 42 were obese. At a = 0.05, is there enough evidence to reject the claim? Step 2: Find the critical value. Since α = 0.05 and the test is a two-tailed test, the critical values are ±1.96. Example 8-17: Obese Young People A researcher claims that based on the information obtained from the Centers for Disease Control and Prevention, 17% of young people ages 2 19 are obese. To test this claim, she randomly selected 200 people ages 2 19 and found that 42 were obese. At a = 0.05, is there enough evidence to reject the claim? Step 3: Compute the test value Example 8-17: Obese Young People Do not reject the null hypothesis since the test value falls in the noncritical region. There is not enough evidence to reject the claim that 17% of young people ages 2 19 are obese. Section 8-4 Example 8-18 Page #446 Example 8-18: Female Gun Owners The Gallup Crime Survey stated that 23% of gun owners are women. A researcher believes that in the area where he lives, the percentage is less than 23%. He randomly selects a sample of 100 gun owners and finds that 11% of the gun owners are women. At a = 0.01, is the percentage of female gun owners in his area less than 23%

15 Example 8-18: Female Gun Owners Step 1 State the hypotheses and identify the claim. Step 2 Find the critical value(s). Since α = 0.01 and this test is one-tailed, the critical value is Example 8-18: Female Gun Owners Step 4 Make the decision. Reject the null hypothesis since the test value falls in the critical region. Example 8-18: Female Gun Owners Step 5 Summarize the results. There is enough evidence to support the claim that the percentage of female gun owners in that area is less than 23%. Step 3 Compute the test value. In this case, ˆp is given Characteristics of the Chi-square Distribution 1. All chi-square values are The chi-square distribution is a family of curves based on the degrees of freedom. 3. The area under each chi-square distribution is equal to The chi-square distributions are positively skewed. Characteristics of the Chisquare Distribution to find the area use table G in appendix A. 1. Finding the chi-square critical value for a specific a when the hypothesis test is right-tailed 2. Finding the chi-square critical value for a specific a when the hypothesis test is left-tailed 3. Finding the chi-square critical values for a specific a when the hypothesis test is two-tailed Section 8-5 Example 8-21 Page #

16 Example 8-21: Table G Find the critical chi-square value for 15 degrees of freedom when α = 0.05 and the test is right-tailed. Example 8-22: Table G Find the critical chi-square value for 10 degrees of freedom when α = 0.05 and the test is left-tailed Section 8-5 Example 8-22 Page #454 When the test is left-tailed, the α value must be subtracted from 1, that is, = The left side of the table is used, because the chi-square table gives the area to the right of the critical value, and the chisquare statistic cannot be negative Example 8-22: Table G Find the critical chi-square value for 10 degrees of freedom when α = 0.05 and the test is left-tailed. Use Table G, looking in row 10 and column Test for a Variance or a Standard Deviation The chi-square distribution is also used to test a claim about a single variance or standard deviation. The formula for the chi-square test for a variance is 1 s 2 2 n 2 with degrees of freedom d.f. = n 1 and n = sample size s 2 = sample variance 2 = population variance 2 Assumptions for the Test for a Variance or a Standard Deviation 1. The sample must be randomly selected from the population. 2. The population must be normally distributed for the variable under study. 3. The observations must be independent of one another

17 Section 8-5 Example 8-23 Page #454 Example 8-23: Table G Find the critical chi-square value for 22 degrees of freedom when α = 0.05 and a two-tailed test is conducted. When the test is two-tailed, the area must be split. The area to the right of the larger value is α /2, or The area to the right of the smaller value is 1 α /2, or With 22 degrees of freedom, areas and correspond to chi-square values of and Section 8-5 Example 8-24 Page # Example 8-24: Math SAT Test The standard deviation for the Math SAT test is 100. The variance is 10,000. An instructor wishes to see if the variance of the 23 randomly selected students in her school is less than 10,000. The variance for the 23 test scores is Is there enough evidence to support the claim that the variance of the students in her school is less than 10,000 at a = 0.05? Assume that the scores are normally distributed. Step 2: Find the critical value. The critical value is Example 8-24: Math SAT Test An instructor wishes to see whether the variation in scores of the 23 students in her class is less than the variance of the population. The variance of the class is 198. Is there enough evidence to support the claim that the variation of the students is less than the population variance ( 2 =225) at α = 0.05? Assume that the scores are normally distributed. Step 3: Compute the test value. Example 8-24: Math SAT Test Do not reject the null hypothesis since the test value falls in the noncritical region. There is not enough evidence to support the claim that the variation of the students test scores is less than the population variance

18 Section 8-5 Example 8-26 Page #458 Example 8-26: Nicotine Content A cigarette manufacturer wishes to test the claim that the variance of the nicotine content of its cigarettes is Nicotine content is measured in milligrams, and assume that it is normally distributed. A sample of 20 cigarettes has a standard deviation of 1.00 milligram. At α = 0.05, is there enough evidence to reject the manufacturer s claim? H 0 : 2 = (claim) and H 1 : Step 2: Find the critical value. The critical values are and Example 8-26: Nicotine Content A cigarette manufacturer wishes to test the claim that the variance of the nicotine content of its cigarettes is Nicotine content is measured in milligrams, and assume that it is normally distributed. A sample of 20 cigarettes has a standard deviation of 1.00 milligram. At α = 0.05, is there enough evidence to reject the manufacturer s claim? Step 3: Compute the test value. The standard deviation s must be squared in the formula n s Example 8-26: Nicotine Content Do not reject the null hypothesis, since the test value falls in the noncritical region. There is not enough evidence to reject the manufacturer s claim that the variance of the nicotine content of the cigarettes is Additional Topics Regarding There is a relationship between confidence intervals and hypothesis testing. When the null hypothesis is rejected in a hypothesistesting situation, the confidence interval for the mean using the same level of significance will not contain the hypothesized mean. Likewise, when the null hypothesis is not rejected, the confidence interval computed using the same level of significance will contain the hypothesized mean. Section 8-6 Example 8-30 Page #

19 Example 8-30: Sugar Production Sugar is packed in 5-pound bags. An inspector suspects the bags may not contain 5 pounds. A sample of 50 bags produces a mean of 4.6 pounds and a standard deviation of 0.7 pound. Is there enough evidence to conclude that the bags do not contain 5 pounds as stated at α = 0.05? Also, find the 95% confidence interval of the true mean. Example 8-30: Sugar Production Sugar is packed in 5-pound bags. An inspector suspects the bags may not contain 5 pounds. A sample of 50 bags produces a mean of 4.6 pounds and a standard deviation of 0.7 pound. Is there enough evidence to conclude that the bags do not contain 5 pounds as stated at α = 0.05? Also, find the 95% confidence interval of the true mean. Example 8-30: Sugar Production Since < , the null hypothesis is rejected. H 0 : μ = 5 and H 1 : μ 5 (claim) Step 2: Find the critical values. The critical values are t = ± Step 3: Compute the test value. X t 4.04 s n There is enough evidence to support the claim that the bags do not weigh 5 pounds Example 8-30: Sugar Production The 95% confidence interval for the mean is Power of a Statistical Test The power of a test measures the sensitivity of the test to detect a real difference in parameters if one actually exists. The higher the power, the more sensitive the test. The power is 1 β. Notice that the 95% confidence interval of m does not contain the hypothesized value μ = 5. Hence, there is agreement between the hypothesis test and the confidence interval

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