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Hypothesis Testing of Two Means and Two Proportions: Lab I (edited: Teegarden 02)

Module by: Mary Teegarden Based on: Hypothesis Testing of Two Means and Two Proportions: Lab I by Dr. Barbara Illowsky, Susan Dean

Summary: figure one has been updated to reflect a normal curve.

Class Time:

Name:

Student Learning Outcomes:

  • The student will select the appropriate distributions to use in each case.
  • The student will conduct hypothesis tests and interpret the results.

Increasing Stocks Survey

Look at yesterday’s newspaper business section. Conduct a hypothesis test to determine if the proportion of New York Stock Exchange (NYSE) stocks that increased is greater than the proportion of NASDAQ stocks that increased. As randomly as possible, choose 40 NYSE stocks and 32 NASDAQ stocks and input the data into a Minitab worksheet. Complete the following statements.

  1. H o H o
  2. H a H a
  3. In words, define the Random Variable. ____________=
  4. The distribution to use for the test is:
  5. Calculate the test statistic using your data.
  6. Draw a graph and label it appropriately. Shade the actual level of significance.
    • a. Graph:
      Figure 1
      Blank graph with vertical and horizontal axes.
    • b. Calculate the p-value:
  7. Do you reject or not reject the null hypothesis? Why?
  8. Write a clear conclusion using a complete sentence.

Textbook Prices

The data in Textbook.mtw shows the price for both the new and used textbook price for books required for summer 2008 classes at Mesa College. Is it worthwhile to buy used textbooks?

  1. H o H o
  2. H a H a
  3. In words, define the Random Variable. ____________=
  4. The distribution to use for the test is:
  5. Calculate the test statistic using your data.
  6. Draw a graph and label it appropriately. Shade the actual level of significance.
    • a. Graph:
      Figure 2
      Blank graph with vertical and horizontal axes.
    • b. Calculate the p-value:
  7. Do you reject or not reject the null hypothesis? Why?
  8. Write a clear conclusion using a complete sentence.

Shoe Survey

Test whether women have, on average, more pairs of shoes than men. Include all forms of sneakers, shoes, sandals, and boots. Use your class as the sample.

  1. H o H o
  2. H a H a
  3. In words, define the Random Variable. ____________=
  4. The distribution to use for the test is:
  5. Calculate the test statistic using your data.
  6. Draw a graph and label it appropriately. Shade the actual level of significance.
    • a. Graph:
      Figure 3
      Blank graph with vertical and horizontal axes.
    • b. Calculate the p-value:
  7. Do you reject or not reject the null hypothesis? Why?
  8. Write a clear conclusion using a complete sentence.

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