Question

In: Statistics and Probability

Scenario: You are interested in the pay rates in southwest Idaho because you have heard those...

Scenario: You are interested in the pay rates in southwest Idaho because you have heard those who live in Boise make more than those in the surrounding cities.   You have conducted a survey and are now ready to analyze the results and preform hypothesis testing.

1.     What are your hypotheses?

H0 =

H1 =

2.     What level of significance have you selected? .05

3.     What test statistic will you be using?

a.     Why?

4.     What is your decision rule (critical value)?

5.     What is your computed test statistic and conclusion?

6.     Please summarize your hypotheses, procedures, and conclusion in narrative form.

Pay Residence
$       11.90 Nampa
$       10.65 Boise
$       13.65 Caldwell
$       12.20 Nampa
$       13.22 Meridian
$       16.15 Meridian
$       12.25 Nampa
$       11.30 Caldwell
$       15.36 Boise
$       26.22 Caldwell
$       17.15 Caldwell
$       17.23 Boise
$       16.48 Boise
$       17.23 Meridian
$       25.78 Boise
$       15.05 Boise
$       15.30 Nampa
$       27.10 Meridian
$       15.00 Nampa
$       11.80 Caldwell
$       10.35 Nampa
$       17.23 Nampa
$       16.90 Boise
$       12.23 Boise
$       12.35 Caldwell
$       15.84 Caldwell
$       17.64 Caldwell
$       11.65 Nampa
$       13.80 Nampa
$       19.42 Meridian
$       10.80 Caldwell
$       17.20 Nampa
$       16.80 Caldwell
$       15.66 Caldwell
$       15.22 Nampa
$       18.00 Nampa
$       20.28 Nampa
$       16.75 Caldwell
$       24.02 Caldwell
$       16.44 Boise
$       15.90 Meridian
$       15.00 Caldwell
$       14.45 Nampa
$       16.80 Caldwell
$       11.35 Nampa
$       17.52 Caldwell
$       19.00 Meridian
$       18.48 Boise
$       11.05 Caldwell
$       14.75 Nampa
$       16.75 Nampa
$       20.50 Caldwell
$       11.13 Boise
$       26.88 Kuna
$       12.45 Nampa
$       11.55 Meridian
$       12.89 Kuna
$       11.40 Nampa
$       15.55 Kuna
$       12.21 Nampa
$       16.32 Nampa
$       10.40 Nampa
$       12.77 Caldwell
$       21.50 Boise
$       15.65 Kuna
$       16.25 Boise
$       14.00 Nampa
$       14.90 Nampa
$         9.95 Nampa
$       18.00 Nampa
$       17.00 Nampa
$       17.23 Meridian
$       10.10 Nampa
$       11.75 Nampa
$       10.25 Meridian
$       19.84 Nampa
$       21.38 Boise
$       16.55 Nampa
$       15.00 Meridian
$       11.00 Kuna
$       12.85 Nampa
$       14.15 Caldwell
$       10.09 Boise
$         9.50 Boise
$       17.23 Meridian
$       11.95 Nampa
$       13.20 Nampa
$       12.45 Nampa
$       22.92 Meridian
$       18.84 Boise
$       13.40 Meridian
$       18.96 Meridian
$       15.80 Nampa
$       11.85 Nampa
$       16.20 Boise
$       10.70 Nampa
$       12.25 Kuna
$       16.50 Kuna
$       10.20 Kuna
$       17.23 Nampa
$       10.80 Kuna
$       15.64 Nampa
$       22.00 Caldwell
$       16.10 Kuna
$       12.17 Meridian
$       12.60 Nampa
$       10.90 Nampa
$       14.25 Nampa
$       16.74 Nampa
$       14.25 Boise
$       13.00 Nampa
$       21.16 Caldwell
$       18.00 Boise
$       16.60 Nampa
$       14.10 Meridian
$       14.50 Nampa
$       13.66 Caldwell
$         9.00 Kuna
$       12.09 Kuna
$       15.20 Meridian
$       10.60 Nampa
$       16.40 Nampa
$       12.05 Boise
$       15.70 Boise
$       15.00 Meridian
$       17.88 Boise
$       26.66 Boise
$       16.00 Boise
$       23.14 Nampa
$       16.10 Caldwell
$       10.45 Kuna
$       15.24 Kuna
$       15.96 Boise
$       13.30 Nampa
$       18.74 Meridian
$       11.50 Kuna
$       14.60 Nampa
$       23.00 Nampa
$       12.75 Nampa
$       10.55 Kuna
$       22.70 Nampa
$       15.86 Nampa
$       24.00 Kuna
$       21.60 Kuna
$       20.94 Nampa
$       11.00 Caldwell
$       15.40 Meridian
$       20.22 Kuna
$       16.05 Kuna
$       15.42 Meridian
$       16.85 Boise
$       17.23 Nampa
$       16.97 Nampa
$       12.45 Nampa
$       13.70 Nampa
$       15.85 Nampa
$       12.01 Meridian
$       21.55 Boise
$         9.95 Nampa
$       15.00 Kuna
$       14.85 Boise
$       15.15 Caldwell
$       13.65 Nampa
$       11.60 Nampa
$       18.52 Meridian
$       13.60 Caldwell
$       12.97 Nampa
$       12.75 Kuna
$       12.05 Meridian
$       14.54 Caldwell
$       20.00 Boise
$       15.60 Nampa
$       16.08 Boise
$       21.82 Nampa
$       15.10 Nampa
$       18.96 Nampa
$       15.40 Nampa
$       12.15 Nampa
$       12.33 Boise
$       12.95 Kuna
$       19.62 Nampa
$       10.05 Nampa
$       12.50 Nampa
$       12.65 Nampa
$       16.65 Kuna
$       17.64 Boise
$       18.24 Meridian
$       12.93 Nampa
$       14.65 Kuna
$       12.90 Nampa
$       11.55 Boise
$       16.68 Boise
$       16.76 Meridian
$       17.23 Meridian
$       13.50 Nampa
$       20.72 Kuna
$       25.34 Nampa
$       15.12 Boise
$       13.44 Caldwell
$       23.36 Kuna
$       19.00 Boise
$       13.90 Nampa
$       10.05 Kuna
$       10.15 Nampa
$         9.90 Boise
$       15.55 Nampa
$       23.80 Nampa
$       17.23 Meridian
$       25.56 Kuna
$       19.55 Meridian
$       14.35 Meridian
$       11.20 Nampa
$       16.40 Meridian
$       22.26 Nampa
$       18.36 Boise
$       10.00 Meridian
$       10.65 Nampa
$       15.65 Nampa
$       22.48 Meridian
$       13.22 Caldwell
$       16.25 Nampa
$       15.01 Boise
$       17.05 Nampa
$       15.00 Meridian
$       11.10 Boise
$       26.44 Kuna
$       12.15 Boise
$       15.00 Nampa
$       22.04 Kuna
$       12.29 Kuna
$       17.23 Nampa
$       12.50 Nampa
$       13.50 Caldwell
$       15.99 Caldwell
$       10.95 Boise
$       12.65 Nampa
$       11.85 Nampa
$       14.20 Kuna
$       10.05 Meridian
$       16.30 Kuna
$       13.95 Nampa
$       12.01 Caldwell
$       24.24 Boise
$       16.70 Kuna
$       11.25 Middleton
$       16.35 Middleton
$       15.50 Nampa
$       12.45 Middleton
$       14.32 Nampa
$       12.55 Meridian
$       14.05 Nampa
$       12.55 Nampa
$       12.53 Meridian
$       15.25 Middleton
$       12.40 Caldwell
$       10.35 Middleton
$       12.41 Caldwell
$       10.95 Boise
$       13.15 Middleton
$       12.25 Nampa
$       13.00 Meridian
$       11.70 Nampa
$       19.18 Nampa
$       12.49 Middleton
$       20.22 Middleton
$       16.45 Nampa
$       12.75 Middleton
$       14.80 Caldwell
$       17.86 Middleton
$       12.85 Middleton
$       10.75 Caldwell
$       16.35 Boise
$       15.95 Middleton
$       16.75 Middleton
$       12.37 Caldwell
$       17.23 Nampa
$       14.30 Caldwell
$       12.61 Nampa
$       23.50 Meridian
$       12.90 Nampa
$       16.96 Caldwell
$       18.60 Boise
$       17.25 Middleton
$       16.00 Middleton
$       17.95 Meridian
$       14.76 Nampa
$       15.95 Caldwell
$       13.20 Caldwell
$       13.35 Caldwell
$       13.05 Caldwell
$       13.85 Caldwell
$       14.95 Boise
$       14.45 Middleton
$       15.44 Meridian
$       24.90 Caldwell
$       16.08 Nampa
$       10.20 Nampa
$       12.10 Nampa
$       13.10 Nampa
$       16.32 Boise
$       10.50 Nampa
$       12.80 Nampa
$       11.70 Nampa
$       14.55 Caldwell
$       17.23 Boise
$       15.00 Caldwell
$       15.72 Caldwell
$       18.08 Caldwell
$       18.98 Boise
$       11.15 Caldwell
$       17.20 Nampa
$       19.40 Nampa
$       15.05 Nampa
$       17.46 Middleton
$       17.23 Boise
$       11.40 Middleton
$       16.20 Boise
$       16.85 Caldwell
$       18.72 Boise
$       12.54 Meridian
$       16.56 Boise
$       17.23 Meridian
$       12.30 Boise
$       18.30 Nampa
$       12.35 Nampa
$       16.92 Middleton
$       12.57 Middleton
$       12.73 Nampa
$       16.00 Meridian
$       17.23 Meridian
$       12.69 Middleton
$       13.35 Meridian
$       12.68 Caldwell
$       14.40 Nampa
$       16.95 Meridian
$       17.28 Caldwell
$       13.80 Middleton
$       12.13 Boise
$       16.98 Caldwell
$       15.48 Boise
$       17.23 Middleton
$       15.85 Middleton
$       17.40 Boise
$       12.25 Meridian
$       15.75 Nampa
$       16.15 Boise
$       12.05 Caldwell
$       14.70 Caldwell
$       11.25 Nampa
$       16.20 Caldwell
$       13.45 Caldwell
$       13.05 Caldwell
$       13.55 Caldwell
$       16.05 Middleton
$       18.93 Boise
$       16.60 Caldwell
$       25.12 Meridian
$       15.80 Meridian
$       24.46 Parma
$       18.12 Caldwell
$       15.20 Caldwell
$       11.45 Parma
$       21.00 Nampa
$       12.70 Boise
$       16.55 Nampa
$       16.80 Meridian
$       12.50 Meridian
$       10.85 Nampa
$       10.50 Nampa
$       12.00 Boise
$       11.10 Parma
$       17.23 Caldwell
$       14.98 Nampa
$       17.23 Nampa
$       12.81 Parma
$       15.59 Boise
$       15.60 Boise
$       20.06 Parma
$       12.65 Caldwell
$       17.04 Boise
$       12.00 Parma
$       12.58 Caldwell
$       15.20 Meridian
$       17.23 Caldwell
$       17.76 Boise
$       15.00 Meridian
$       16.95 Caldwell
$       17.42 Nampa
$       12.15 Nampa
$       13.88 Boise
$       15.60 Nampa
$       20.22 Caldwell
$       16.30 Boise
$       20.22 Meridian
$       17.16 Boise
$       16.52 Caldwell
$       17.23 Caldwell
$       16.54 Meridian
$       13.25 Meridian
$       15.50 Nampa
$       22.50 Meridian
$       17.23 Nampa
$       23.58 Parma
$       17.23 Caldwell
$       15.75 Nampa
$       15.45 Caldwell
$       26.00 Caldwell
$       12.30 Nampa
$       15.88 Nampa
$       24.68 Nampa
$       16.45 Parma
$       15.35 Nampa
$       10.30 Caldwell
$       16.65 Parma
$       18.44 Meridian
$       10.00 Parma
$       14.00 Caldwell
$       13.75 Meridian
$       14.10 Boise
$       16.22 Boise
$       12.60 Caldwell

Solutions

Expert Solution

1)

Ho: there is no significant difference in the average play between Boise and the surrounding cities.

H1: the average play rate in Boise is more as compared to the surrounding cities.

2)

Level of significance = 0.05

3)

I will use T test for independent samples with unequal variances.

I use this test as The two groups of Boise and other cities are independent of each other.

4)

Df=
(s1^2/n1 + s2^2/n2)^2/((s1^2/n1)^2/(n1-1) + (s2^2/n2)^2/(n2-1))
(0.1686+0.0379)^2/(0.1686^2/(72-1) + 0.0379^2/(349-1))
84

Critical value, t(a, df) =t(0.05,84) =abs(t.INV(0.05,84)) = 1.663

The decision rule is to reject the null hypothesis if the test statistic is greater than the critical value.

5)

T =
= (Xbar1-Xbar2)/sqrt(s1^2/n1 + s2^2/n2)
= (16.0025-15.2980515759312)/sqrt(0.1686+0.0379)
1.5502

6)

With t(84) = 1.5502 < t(0.05,84),I fail to reject the null hypothesis. Hence I conclude that there is no significant difference in the average play between Boise and the surrounding cities.


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