Question

A.

A person can take either of two routes to work, through Matteson or Richton Park. Both take on average 35 minutes, and travel times are Normally distributed. But are the variances of the travel times different? A random sample with n = 8 using the Matteson route, and another random sample with n = 6 using the Richton Park route, showed a variance of 40 (units: square minutes) and 30 respectively. To test whether the variances are different, the following test of hypothesis is to be carried out:

H0:

H1:  

To test this at 5% level of significance, what is the critical value for the test statistic? (Give two decimal places)

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B .

n analyst for a firm claims that their market-share has increased. In the past, about 35% of households used their product. To test the claim, they set up the following:

H0: p <= 0.35

H1: p > 0.35

To carry out the test at a significance level of 10%, the analyst took a random sample of households (sample size = 80), and found the sample proportion of households that used their product, and it was 40 out of 80.  Compute the appropriate Z-stat.____________

Answer 1