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1. Classify the hypothesis test as two-tailed, left-tailed, or right-tailed. In

ID: 3318494 • Letter: 1

Question

1. Classify the hypothesis test as two-tailed, left-tailed, or right-tailed. In the past, the mean running time for a certain type of flashlight battery has been k days. The manufacturer has introduced a change in the production method and wants to perform a hypothesis test to determine whether the mean running time has changed as a result.

2. A hypothesis test is to be performed for a population proportion. For the given sample data and null hypothesis, compute the value of the test statistic, z = A drug company claims that over 90% of all physicians recommend their drug. 800 physicians were asked if they recommend the drug to their patients. 39% said yes. H0: p = 0.9

3. Perform a hypothesis test for the population mean. Assume that preliminary data analyses indicate that it is reasonable to apply the z-test. A national car insurance company stated that in 1987, the average yearly car insurance cost for a family in the U.S. was $1,716. In the same year, a random sample of 34 families in California resulted in a mean cost of $ 2011. Does this suggest that the average insurance cost for a family in California in 1987 exceeded the national average? Perform the hypothesis test at a significance level of 10%. Assume that the population standard deviation is $35.50.

Explanation / Answer

Ans:

1)two tailed

2)std dev.=sqrt(0.9*(1-0.9)/800)=0.0106

z=(0.39-0.90)/0.0106=-48.11

3)

z=(2011-1716)*sqrt(34)/35.5=48.45

p-value=P(z>48.45)=0

As,p-value>0.1,we reject null hypothesis.

We have sufficient evidence to suggest that the average insurance cost for a family in California in 1987 exceeded the national average