{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

w12_BS-HT1_post

# w12_BS-HT1_post - Business Statistics Example A battery...

This preview shows pages 1–3. Sign up to view the full content.

Business Statistics Example A battery company claims that on average their batteries last 60 hours A sample of size 15 is obtained resulting in a sample mean of 52 hours. Assume that the battery lifetimes are normally distributed with unknown mean and variance 100. Test to see whether the companies batteries really last that long with α = 5%. 0 1 : 60 : 60 H H 0 5% 1.645; Reject if 1.645 obs z H z   52 60 3.098 10 15 obs x z n   3.098 1.645 obs z z       Remark: Variance = 100 = 10 Reject H o at 5% level of significance. There is sufficient evidence that the companies batteries do not last 60 hours.

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
Business Statistics Procedures of Hypothesis Testing 1. State the Null and Alternative Hypotheses. 2. State the Rejection Region / Decision Rule. 3. Calculate the Observed Test Statistics. 4. Make decision. 5. Write down the conclusion. 0 1 1 1 : 60 vs. : 60 (or : 60 or : 60) H H H H 1-sided test 2-sided test 1-sided test 0 5% 1.645; Reject if 1.645 obs z H z
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### Page1 / 5

w12_BS-HT1_post - Business Statistics Example A battery...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online