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Section 3
Hypothesis Tests for a
Population Mean in Practice
Chapter 10 Section 3
Learning objectives
1
Chapter 10 Section 3
In the previous section, we assumed that the
population standard deviation, , was known
This is not a realistic assumption
There is a parallel between Chapters 9 and 10
Sections 9.1 and 10.2 solving the problems
assuming that was known
Sections 9.2 and 10.3 solving the problem
assuming that was not known
Chapter 10 Section 3
The parallel between Confidence Intervals and
Hypothesis Tests carries over here too
For Confidence Intervals
We estimate the population standard deviation by
the sample standard deviation s
We use the Students t-distribution with n-1 degrees
of freedom
Chapter 10 Section 3
Thus instead of the test statistic knowing
x 0
z0
/ n
Chapter 10 Section 4
We can perform our hypotheses for tests of a
population proportion in the same way as when
the sample standard deviation is known
Two-tailed
Left-tailed
Right-tailed
H0: = 0
H0: = 0
H0: = 0
H1: 0
H1: < 0
H1: > 0
Chapter 10 Section 3
The process for a hypothesis test of a mean,
when is unknown is
Set up the problem with a null and alternative
hypotheses
Collect the data and compute the sample mean
Compute the test statistic
x 0
t
s/ n
Chapter 10 Section 3
Either the Classical and the P-value approach
can be applied to determine the significance
Classical approach
P-value approach
Chapter 10 Section 3
There are thus only differences between this
process and the one using the normal
distribution, covered in Section 10.2
We use the sample standard deviation s instead of
the population standard deviation
We use the Students t-distribution, with n-1 degrees
of freedom, instead of the normal distribution
Chapter 10 Section 3
An example (the same one
one as
as in
in Section
Section 10.2)
10.2)
A gasoline manufacturer wants
wants to
to make
make sure
sure that
the
in their
gasoline
is at is
least
87.0 87.0
thatoctane
the octane
in their
gasoline
at least
Chapter 10 Section 3
Do we reject the null hypothesis?
86.94 is 0.06 lower than 87.0
The standard error is (0.5 / 40) = 0.08
0.06 is 0.75 standard error less
The critical t value, with 39 degrees of freedom, is
1.685
1.685 < 0.75, it is not unusual
Our conclusion
We do not reject the null hypothesis
We have insufficient evidence that the true population
mean (mean octane) is less than 87.0
Sullivan Fundamentals of Statistics 2nd Edition Chapter 10 Section 3 Slide 11 of 14
Chapter 10 Section 3
Comparing using the classical approach
Chapter 10 Section 3
Comparing using the P-value approach