You wish to test the following claim (H1H1) at a significance
level of α=0.005α=0.005.
Ho:μ=57.7Ho:μ=57.7
H1:μ≠57.7H1:μ≠57.7
You believe the population is normally distributed and you know the
standard deviation is σ=12.4σ=12.4. You obtain a sample mean of
M=53M=53 for a sample of size n=67n=67.
When finding the critical value and test statistic, which
distribution would we be using?
Below are the null and alternative Hypothesis,
Null Hypothesis, H0: μ = 57.7
Alternative Hypothesis, Ha: μ ≠ 57.7
Rejection Region
This is two tailed test, for α = 0.005
Critical value of z are -2.807 and 2.807.
Hence reject H0 if z < -2.807 or z > 2.807
Test statistic,
z = (xbar - mu)/(sigma/sqrt(n))
z = (53 - 57.7)/(12.4/sqrt(67))
z = -3.103
P-value Approach
P-value = 0.0019
As P-value < 0.005, reject the null hypothesis.
Normal distribution (invNorm for critical value)
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