Hypothesis Testing
You are provided with a sample of 6 monthly returns for a fund:
Month | Return |
---|---|
1 | -3% |
2 | 5% |
3 | 5% |
4 | 6% |
5 | 0% |
6 | 4% |
Additional Information:
The population standard deviation of returns is 3.2361%, their
sample
standard deviation is 3.5449%.
Use an appropriate statistical test to test whether their average is greater than zero.
Hypothesis Testing You are provided with a sample of 6 monthly returns for a fund: Month...
Problem 4: One Sample T-Tests. For the following investigations, include all Steps of Hypothesis Testing Investigation A: A university wants to see if their statistics lab instructors receive student ratings that are higher than the population mean of 5.0. For a sample of 30 statistics lab instructors from that university. M= 5.3 and S- i. Conduct the appropriate statistical test using α-05 Investigation B. A researcher wants to see if children with autism are different than the population mean of...
Problem 1: Medicare would like to test the hypothesis that the average monthly rate for one-bedroom assisted-living facility is equal to $3,300. A random sample of 12 assisted-living facilities had an average rate of $3,690 per month. The standard deviation for this sample was $530. Medicare would like to set α = 0.05. The correct hypothesis statement for this hypothesis test would be H0: μ ≥ $3,300; H1: μ < $3,300. H0: μ = $3,300; H1: μ ≠ $3,300. H0:...
For the standardized test statistic approach to hypothesis testing, calculate the test statistic for testing the null hypothesis that the population mean is less than or equal to 10.70, given a sample mean of 12.30, a sample size of 30, and a population standard deviation of 2.61.
For the standardized test statistic approach to hypothesis testing, calculate the test statistic for testing the null hypothesis that the population mean is less than or equal to 9.94, given a sample mean of 15.20, a sample size of 49, and a population standard deviation of 3.25. Round to two decimals.
Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 6%. A mutual-fund rating agency randomly selects 22 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 4.22%. Is there sufficient evidence to conclude that the fund has moderate risk at the α=0.01 level of significance? A normal probability plot indicates that the monthly...
Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4 %. A mutual-fund rating agency randomly selects 22 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 3.43 %. Is there sufficient evidence to conclude that the fund has moderate risk at the alpha equals 0.01 level of significance? A normal probability plot...
Hypothesis Testing Example 7: Steps in Hypothesis Testing: A manufacturer claims that the thickness of the spearmint gum it produces is 7.5 one- hundredths of an inch. A quality control specialist regularly checks this claim. On one production run, he took a random sample of n= 10 pieces of gum and measured their thickness. The quality control specialist's hypotheses are: HO: 1. Step 1: State Hypotheses 2. Step 2: Select alpha, Draw Picture, Label Critical Values and Rejection Region(s) 3....
6. Testing a population mean, Methods (Exercise 9.23 eBook Consider the following hypothesis test: Ho: ? 12 Ha: ? > 12 A sample of 25 provided a sample mean T -14 and a sample standard deviation s 4.32. a. Compute the value of the test statistic (to 2 decimals). b. Use the t distribution table (Table 2 in Appendix B) to compute a range for the p-value. The p-value is Select Answer the next three questions using the critical value...
Chapter IU! Hypothesis Testing Exercises (1): A random sample of 6 steel beams has a mean com- pressive strength of 58,392 psi (pounds per square inch) with a standard deviation of 648 psi. Use this information and the level of significance a = 0.05 to test whether the true average compressive strength of the steel from which this sample came is 58,000 psi. Assume normality. Roelve the show verrien ifn-en 5. tereo Head Exercises (2): Studying the flow of traffic...
1. Using the traditional hypothesis testing approach, calculate the critical value for testing the null hypothesis that the population mean is greater than or equal to 12, given a sample size of 49, a population standard deviation 6.06, and a significance level of 0.05. Round to two decimals. K = 2. The manager of a paint supply store wants to determine if the mean amount of paint contained in 1- gallon cans purchased from a nationally known manufacturer is actually...