Question

Directions: Please show your work. Submitting answers only will not earn you full credit for a given problem. Showing work includes, but is not limited to: formulas, graphs, and calculations. If you use the web calculator, StatCrunch, Minitab, Excel, Table V, Graphing Calculator, etc…, you must include your output with your answer (I suggest using the Snipping Tool in Windows). Use the prescribed method of test (Classical or P-value) for each question. Follow all the steps used in hypothesis testing as delineated in the guided notes or the textbook and be sure to verify the conditions for each test. Assume that all samples are randomly obtained.

Question #3: In a recent survey conducted by Pew Research, it was found that 159 of 295 adult Americans without a high school diploma were worried about having enough saved for retirement a) Does the sample evidence suggest that a majority of adult Americans without a high school diploma are worried about having enough saved for retirement? Use the Classical approach with a 10% level of significance. b) Based on your results of the hypothesis test-the decision you made in part a, what type of error might have occurred? Please explain. Question #4: The Graduate Management Admission Test (GMAT) is a test required for admission into many masters of business administration (MBA) programs. Total scores on the GMAT are normally distributed. The Graduate Management Admission Council, who administers the test, claims that the mean total score is 529 (source: www.mba.com). The scores of a random sample of 8 students who took the test are given below. 699 560414 570 521663727 413 a) Using the QQ Plot and the box plot below, are the conditions for testing the hypothesis satisfied? Please be specific. Q Plot of GMAT Sample Correlation 0.976 Boxplot of GMAT Sample GMAT Score 700 650 600 550 500 450 0.5 Normal Quantile 0.5 450 500 550 600 650 700 GMAT Score b) Does the sample evidence suggest the mean total score is different from what The Graduate Management Admission Council claims at the 5% level of significance? Use the p- value approach.

Answer 1