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hw_2_su08 - BUAD 310 Summer 08 Dr Arif Ansari Topics...

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BUAD 310 –Summer 08- Dr. Arif Ansari Topics Covered –Hypothesis Testing and Correlation Homework # 2 - 100 points (Due date 06/25/2008- Wednesday) For Home Work 2, Turn in Question 1(30 points), Parts (c)-(l), Question 2 (30 points) and Question 3 (30 points), parts (a)-( j ) and Part II (10 points) 1. A battery pack of a hand calculator is supposed to perform 20,000 calculations before needing recharging. The quality control manager for the manufacturer is concerned that the pack may not be working for as long as the specification state, a test of 114 battery packs gives an average of 19,695 calculations and a standard deviation of 1103. (Problem 8.10 from text book). a. Set up the appropriate null and alternative hypothesis to test that the average number of calculations performed by the calculator before needing recharging is different from 20,000 (Just to teach you to setup the hypothesis) b. Set up the appropriate null and alternative hypothesis to test that the average number of calculations performed by the calculator before needing recharging is more from 20,000 (Just to teach you to setup the hypothesis) c. Set up the appropriate null and alternative hypothesis to test that the battery packs may not be working for as long as the specification states. d. Among the three hypothesis you had setup, which is more appropriate hypothesis. (Answer: c) Now answer the questions below based on the part (C), e. Calculate the Test-statistic? Is it a t-test statistics or Z-test statistics? f. What is the critical value? g. What is the rejection rule? What is the rejection region? h. State your conclusion? i. Find the p-value. (Estimate it). j. Did you make any assumptions? Explain. k. What is the Type - I error for this problem? Explain in words.
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