Q. 69

Question

One-sided test Suppose you carry out a significance test of H0:μ=5 versus Ha:μ>5 based on a sample of size n = 20 and obtain t = 1.81.

(a) Find the P-value for this test using (i) Table B and (ii) your calculator. What conclusion would you draw at the 5% significance level? At the 1% significance level?

(b) Redo part (a) using an alternative hypothesis of Ha:μ5.

Step-by-Step Solution

Verified
Answer

a.  Table B: 0.025 < P-value < 0.05. Technology: the P-value is 0.043. Reject H0 at the 5% significance level. Fail to reject H0 at the 1% significance level.

b.  Table B: 0.05 < P-value < 0.10. Technology: the P-value is 0.086. Fail to reject H0 at both levels.

1Step 1: Given information

(One-sided test Suppose you carry out a significance test of  H0:μ=5 versus Ha:μ>5 based on a sample of size n = 20 and obtain t = 1.8.

2Step 2: Explanation (part a)

(i) Table B:

The degrees of freedom required for looking Table B: is given by df=n-1=20-1=19

Now for a one tailed significance t test looking at Table B: the p-value is calculated as

0.025 < P-value < 0.05

(ii) Calculator: 

Performing test on significance level 0.05: p-value: 0.04388018

Decision: You can reject H at the significance level 0.05, because your p-value does not exceed 0.05.

Performing test on significance level 0.1: p-value: 0.9561198

Decision: There is not enough evidence to reject H at the significance level 0.1, because your p-value is greater than 0.1.

Conclusion: Reject H0 at the 5% significance level. Fail to reject H0 at the 1% significance level.

3Step 3: Explanation (part b)

Redo part (a) using an alternative hypothesis of Ha: μ5

(i) Table B:

The degrees of freedom required for looking Table B: is given by

df=n-1=20-1=19

Now for a one tailed significance t test looking at Table B: the p-value is calculated as

0.05 < P-value < 0.1

(ii) Calculator: 

Performing test on significance level 0.05: p-value : 0.08776036

Decision: There is not enough evidence to reject H at the significance level 0.05, because your p-value is greater than 0.05.

Performing test on significance level 0.1: p-value: 0.08776036

Decision: You can reject H at the significance level 0.1, because your p-value does not exceed 0.1.

Conclusion: Fail to reject H0 at both levels.