Question

Please create a specific business scenario which is appropriate for hypothesis testing of population mean with population standard deviation sigma given. Follow all the steps in the textbook (from hypothesis determination to result interpretation at least) to test the hypothesis.

Step 1.

Develop the null and alternative hypotheses.

Step 2.

Specify the level of significance.

Step 3.

Collect the sample data and compute the value of the test statistic.

Step 4.

Use the value of the test statistic to compute the p-value.

Step 5.

Reject or fail to reject?

Step 6.

Interpret the statistical conclusion in the context of the application.

Answer 1

Solution

Consider scenario , the smartphone manufacturing company intrested to check whether the performance smartphone battery is more then 10 hours. To investigate this the manager takes sample of 50 smartphones and meausred battery performance with mean 10.5 and population standard deviation 2.3. We will use = 0.01% level of significance to check our claim.

Solution

The procedure is as follows

(5) Conclusion

It is concluded that the null hypothesis Ho is not rejected. Therefore, there is not enough evidence to claim that the performance smartphone battery is more then 10 hours., at the 0.01 significance level.