7/10/2014 SECTION 8-4 TESTING A CLAIM ABOUT A MEAN: ࣌ KNOWN Requirements for Testing Claims About a Population Mean (with σ Known) The sample is a simple random sample. The value of the population standard deviation is known. Either or both of these conditions is satisfied: The population is normally distributed or n>30. Test Statistic for Testing a Claim About a Mean (with σ Known) z= x − µx σ n 1 7/10/2014 Example: Listed below are recorded speeds (in mi/h) of randomly selected cars traveling on a section of Highway 405 in Los Angeles (based on data from Sigalert). That part of the highway has a posted speed limit of 65 mi/h. Assume that the standard deviation of speeds is 5.7 mi/h and use a 0.01 significance level to test the claim that the sample is from a population with a mean that is greater than 65 mi/h. 68 65 59 60 68 73 75 73 72 66 70 61 73 71 56 75 65 68 66 58 74 74 75 74 73 66 68 60 72 71 75 73 68 65 62 58 65 73 72 75 Example: Step 1: Create null and alternative hypothesis H0: µ = 65 mi/h H1: µ > 65 mi/h Example: Step 2: Calculate the test statistic and find the p-value. USING JMP •Analyze, Distribution •Test Mean z = 3.7448 P-Value < .0001 Because lower tailed, then select < from JMP 2 7/10/2014 Example: Step 3: Formulate conclusion The P-Value of .0001 is less than the significance level of .01. Therefore, reject H0. What the final conclusion? YOUR TURN! Recap In this section we have discussed: Requirements for testing claims about population means, σ known. P-value method. (using JMP) Traditional method. 3 7/10/2014 SECTION 8-5 TESTING A CLAIM ABOUT A MEAN: ࣌ NOT KNOWN Notation n x = sample size = sample mean µ x = population mean of all sample means from sample size n Requirements for Testing Claims About a Population Mean (with σ Not Known) 1) The sample is a simple random sample. 2) The value of the population standard deviation σ is not known. 3) Either or both of these conditions is satisfied: The population is normally distributed or n>30. 4 7/10/2014 Test Statistic for Testing a Claim About a Mean (with σ Not Known) t= x − µx s n EPA investigating gas mileage in advanced hybrid vehicles http://www.greencarreports.com/news/1080961_consumer-reports-new-ford-hybridsdont-meet-mileage-ratings Example: Consumer Reports conducted tests of the gas mileage for the new Ford Fusion. Listed below are results from those tests, with the measurements given in miles per gallon. Ford claims that its combined gas mileage is t least a47 mpg. Use a 0.01 significance level to test the claim that the gas mileage in the Ford Fusion is at least 47 miles per gallon. Do the results warrant an investigation?? Car 1 38.94 Car 2 38.45 Car 3 38.33 Car 4 54.76 Car 5 40.89 5 7/10/2014 Example: Step 1: Create null and alternative hypothesis H0: ߤ = 47 mpg H1: ߤ < 47 mpg Example: Step 2: Calculate the test statistic and find the p-value. USING JMP •Analyze, Distribution •Test Mean t = -1.4978 P-Value = .1043 Example: Step 3: Formulate conclusion The P-Value of .1043 is greater than the significance level of .01. Therefore, fail to reject H0. What the final conclusion? 6
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