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Chapter Eight
Hypothesis Testing
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McGraw-Hill/Irwin
Hypothesis Testing
8.1
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Types of Hypothesis
One-Sided, Greater Than
H0: 50
Ha: > 50
(Trash Bag)
(Accounts Receivable)
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Ha: 4.5
(Camshaft)
State of Nature
Conclusion
Reject H0
Do not Reject H0
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H0 True
H0 False
Type I
Error
Correct
Decision
Correct
Decision
Type II
Error
x- 0
z=
/ n
Alternative
:
H :
H
a
a
Reject H0 if:
z z
0
0
z z
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Reject H0 if:
z z
z z
z z / 2 , that is
p-Value
Area under std normal curve right of z
Area under std normal curve left of z
Twice area under std normal curve right of z
z z / 2 or z z / 2
Test Statistic
x- 0
If unknown and n is large, estimate by s.
z=
/ n
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Camshaft
t t / 2 or t t / 2
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Test Statistic
x- 0
t, t/2 and p-values are based on n 1 degrees of
t=
s/ n
freedom.
x- 0
s/ n
16.827 - 18.8
=
4.97
1.538 / 15
t=
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z z / 2 or z z / 2
Test Statistic
z=
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p - p 0
p0 (1 p0 )
n
z=
p - p 0
=
p0 (1 p0 )
n
0.77 - 0.70
2.65
0.70(1 0.70)
300
z.05
/ n
= P
P x 0 z.05
0.0147
P x 3 1.645
35
P x 2.9959126| 2.995
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Test of H0: 2 = 20
Test Statistic
(n 1) s 2 (n 1) s 2
, 2
2
/ 2 1 / 2
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(n 1) s 2
02
2
Reject H0 in favor of
H a : 2 02 if 2 2
H a : 2 02 if 2 12
H a : 2 02 if 2 2 or 2 12
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Hypothesis Testing
Summary
:8.1 Null and Alternative Hypotheses and Errors in
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Testing
8.2 Large Sample Tests about a Mean:
Testing a One-Sided Alternative Hypothesis
8.3 Large Sample Tests about a Mean:
Testing a Two-Sided Alternative Hypothesis
8.4 Small Sample Tests about a Population Mean
8.5 Hypothesis Tests about a Population Proportion
8.6* Type II Error Probabilities and Sample Size
Determination
8.7* The Chi-Square Distribution
8.8* Statistical Inference for a Population Variance