Question

(12 of 15)

You suspect that unemployment in Omaha is less than nationwide average. After collecting data each month for 12 years, you nd that the mean unemployment rate for Omaha is 3.6% with a sample standard deviation of 2.4%. The national average over the time period was 4.2%. The null hypothesis you wish to test is:

H0 : μ=4.2% H0 : μ=4.2%

Should you accept or reject the null hypothesis?

Reject; Omaha's rate is 3 standard errors from the national average.

Reject; Omaha's rate is 0.25 standard deviations from the national average.

Accept; Omaha's rate is 0.25 standard deviations from the national average.

Accept; Omaha's rate is 3 standard errors from the national average.

Answer #1

Option 4. We need to accept the null hypothesis

The calculations are:

sample mean | 3.60% |

sample SD | 2.40% |

National average | 4.20% |

n | 144 |

1. We need to find t values at 5% significance = (sample mean - pop mean) / SD/Sqrt(n)

= (3.6%-4.2%)/(4.2%/sqrt(144)) = -1.71

2. Find the critical t value for 143 degrees of freedom and significance level of 5% = +/- 1.96

3. Since the t value -1.71 does not fall in rejection region we need to accept the null hypothesis at 5% significance

4. SE = SD/Sqrt(n) = 2.4%/sqrt(144) = 0.002

3*SE = 3*0.002 = 0.006= 0.6%

So, National average - 3*SE= Sample average

Sample average = 4.2%-0.6% = 3.2%

It is reported in USA Today that the average flight cost
nationwide is $368.88. You have never paid close to that amount and
you want to perform a hypothesis test that the true average is
actually less than $368.88. What are the appropriate hypotheses for
this test?
Question 1 options:
1)
HO: μ ≤ 368.88
HA: μ > 368.88
2)
HO: μ > 368.88
HA: μ ≤ 368.88
3)
HO: μ = 368.88
HA: μ ≠ 368.88
4)
HO: μ...

You wish to test the
claim that the average IQ score is less than 100 at the .005
significance level. You determine the hypotheses are:
Ho: μ=100
H1:μ<100
You take a simple
random sample of 76 individuals and find the mean IQ score is 95.5,
with a standard deviation of 15.1. Let's consider testing this
hypothesis two ways: once with assuming the population standard
deviation is not known and once with assuming that it is known.
Round to three decimal...

You wish to test the claim that the average IQ score is less
than 100 at the .01 significance level. You determine the
hypotheses are: H o : μ = 100 H 1 : μ < 100 You take a simple
random sample of 60 individuals and find the mean IQ score is 98.7,
with a standard deviation of 14.6. Let's consider testing this
hypothesis two ways: once with assuming the population standard
deviation is not known and once with...

The average salary for American college graduates is $42,400.
You suspect that the average is less for graduates from your
college. The 59 randomly selected graduates from your college had
an average salary of $41,616 and a standard deviation of $8,550.
What can be concluded at the αα = 0.10 level of significance?
For this study, we should use Select an answer t-test for a
population mean z-test for a population proportion
The null and alternative hypotheses would be:
H0:H0: ?...

From public records, individuals were identified as having been
charged with drunken driving not less than 6 months or more than 12
months from the starting date of the study. Two random samples from
this group were studied. In the first sample of 30 individuals, the
respondents were asked in a face-to-face interview if they had been
charged with drunken driving in the last 12 months. Of these 30
people interviewed face to face, 16 answered the question
accurately. The...

A mortgage specialist would like to analyze the average mortgage
rates for Atlanta, Georgia. He collects data on the annual
percentage rates (APR in %) for 30-year fixed loans as shown in the
following table. If he is willing to assume that these rates are
randomly drawn from a normally distributed population, can he
conclude that the mean mortgage rate for the population exceeds
4.2%? Test the hypothesis at the 10% level of significance. (You
may find it useful to...

Nationally, about 11% of the total U.S. wheat crop is destroyed
each year by hail.† An insurance company is studying wheat hail
damage claims in a county in Colorado. A random sample of 16 claims
in the county reported the percentage of their wheat lost to
hail.
13
8
9
9
14
18
16
9
5
10
22
21
11
11
12
3
The sample mean is x = 11.9%. Let x be a
random variable that represents the percentage...

Nationally, about 11% of the total U.S. wheat crop is destroyed
each year by hail.† An insurance company is studying wheat hail
damage claims in a county in Colorado. A random sample of 16 claims
in the county reported the percentage of their wheat lost to
hail.
13
8
10
10
12
19
16
9
9
9
24
22
11
8
11
5
The sample mean is x = 12.3%. Let x be a
random variable that represents the percentage...

Nationally, about 11% of the total U.S. wheat crop is destroyed
each year by hail.† An insurance company is studying wheat hail
damage claims in a county in Colorado. A random sample of 16 claims
in the county reported the percentage of their wheat lost to hail.
14 8 10 11 10 18 16 12 7 9 26 21 11 9 11 6 The sample mean is x =
12.4%. Let x be a random variable that represents the percentage...

Nationally, about 11% of the total U.S. wheat crop is destroyed
each year by hail.† An insurance company is studying wheat hail
damage claims in a county in Colorado. A random sample of 16 claims
in the county reported the percentage of their wheat lost to
hail.
17 7 9 13 13 20 13 11 5 8 26 21 13 8 12 4
The sample mean is x = 12.5%. Let x be a random variable that
represents the percentage...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 9 minutes ago

asked 10 minutes ago

asked 15 minutes ago

asked 17 minutes ago

asked 17 minutes ago

asked 17 minutes ago

asked 17 minutes ago

asked 18 minutes ago

asked 19 minutes ago

asked 27 minutes ago

asked 31 minutes ago

asked 34 minutes ago