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Exam 9: Hypothesis Tests

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Question 41

Multiple Choice

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Exhibit 9-1 -Refer to Exhibit 9-1. The p-value is between

A) 0.005 to 0.01
B) 0.01 to 0.025
C) 0.025 to 0.05
D) 0.05 to 0.10

E) C) and D)
F) B) and C)

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Question 42

Multiple Choice

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In the hypothesis testing procedure, $\alpha$ is

A) the level of significance
B) the critical value
C) the confidence level
D) 1 - level of significance

E) B) and C)
F) A) and C)

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Question 43

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A tire manufacturer has been producing tires with an average life expectancy of 26,000 miles. Now the company is advertising that its new tires' life expectancy has increased. In order to test the legitimacy of the advertising campaign, an independent testing agency tested a sample of 6 of their tires and has provided the following data. a.Determine the mean and the standard deviation. b.At 99% confidence using the critical value approach, test to determine whether or not the tire company is using legitimate advertising. Assume the population is normally distributed. c.Repeat the test using the p-value approach.

In hypothesis testing, the tentative assumption about the population parameter is

In a lower one-tail hypothesis test situation, the p-value is determined to be 0.2. If the sample size for this test is 51, the t statistic has a value of

Exhibit 9-3 -Refer to Exhibit 9-3. If the test is done at the 5% level of significance, the null hypothesis should

A Type II error is committed when

For a two-tailed test at 98.4% confidence, Z =

For a one-tailed test (upper tail) at 93.7% confidence, Z =

Exhibit 9-2 -Refer to Exhibit 9-2. The p-value is between

"D" size batteries produced by MNM Corporation have had a life expectancy of 87 hours. Because of an improved production process, it is believed that there has been an increase in the life expectancy of its "D" size batteries. A sample of 36 batteries showed an average life of 88.5 hours. Assume from past information that it is known that the standard deviation of the population is 9 hours. a.Formulate the hypotheses for this problem. b.Compute the test statistic. c.What is the p-value associated with the sample results? What is your conclusion based on the p-value? Let $\alpha$ = .05.

If a hypothesis test leads to the rejection of the null hypothesis,

In the past, 75% of the tourists who visited Chattanooga went to see Rock City. The management of Rock City recently undertook an extensive promotional campaign. They are interested in determining whether the promotional campaign actually increased the proportion of tourists visiting Rock City. The correct set of hypotheses is

Some people who bought X-Game gaming systems complained about having received defective systems. The industry standard for such systems has been ninety-eight percent non-defective systems. In a sample of 120 units sold, 6 units were defective. a.Compute the proportion of defective items in the sample. b. b.Compute the standard error of. c.At 95% confidence using the critical value approach, test to see if the percentage of defective systems produced by X-Game has exceeded the industry standard. d.Show that the p-value approach results in the same conclusion as that of part

The average life expectancy of tires produced by the Whitney Tire Company has been 40,000 miles. Management believes that due to a new production process, the life expectancy of their tires has increased. In order to test the validity of their belief, the correct set of hypotheses is

Exhibit 9-5 A random sample of 100 people was taken. Eighty-five of the people in the sample favored Candidate A. We are interested in determining whether or not the proportion of the population in favor of Candidate A is significantly more than 80%. -Refer to Exhibit 9-5. The p-value is

Exhibit 9-9 The sales of a grocery store had an average of $8,000 per day. The store introduced several advertising campaigns in order to increase sales. To determine whether or not the advertising campaigns have been effective in increasing sales, a sample of 64 days of sales was selected. It was found that the average was $8,300 per day. From past information, it is known that the standard deviation of the population is $1,200. -Refer to Exhibit 9-9. The correct null hypothesis for this problem is

Exhibit 9-3 -Refer to Exhibit 9-3. The p-value is between

The p-value

A group of young businesswomen wish to open a high fashion boutique in a vacant store but only if the average income of households in the area is at least $25,000. A random sample of 9 households showed the following results. Assume the population of incomes is normally distributed. a.Compute the sample mean and the standard deviation. b.State the hypotheses for this problem. c.Compute the test statistic. d.At 95% confidence using the p-value approach, what is your conclusion?