Ch 9 Steps in hypothesis testing.docx

Ch 9 Steps in hypothesis testing.docx - Ch 9 Steps in...

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Ch 9 Steps in hypothesis testing Step 1: State the hypothesis to be tested. Step 2: Specify what level of inconsistency with the data will lead to rejection of the hypothesis. This is called a decision rule. Step 3: Collect data and calculate necessary statistics to test the hypothesis. Step 4: Make a decision. Should the hypothesis be rejected or not? Step 5: Take action based on the decision. One-Tailed and Two-Tailed Tests For a mean, the null hypothesis H 0 states the value(s) of μ 0 that we will try to reject. There are three possible alternative hypotheses: Left-Tailed Test Two-Tailed Test Right-Tailed Test H 0 : μ μ 0 H 0 : μ = μ 0 H 0 : μ μ 0 H 1 : μ < μ 0 H 1 : μ μ 0 H 1 : μ > μ 0 , if test statistic a is known If it is not known. For a proportion:
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Example problems: Sample size determination for a mean 8.8 A produce manager wants to estimate the mean weight of Spanish onions being delivered by a supplier, with 95 percent confidence and an error of ± 1 ounce. A preliminary sample of 12 onions shows a sample standard deviation of 3.60 ounces. For a 95 percent confidence interval, we will set
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