In: Statistics and Probability
Let us assume that the time it takes to do the class problem follows a Normal distribution and the samples are independent. For the sample of size 100, the mean is 32 minutes with standard deviation of 9 minutes.
We want to assess,"To test the hypothesis that the problem sets for hypothesis testing will be completed faster ".
Null Hypothesis: The average time taken to solve the in class problem=40 minutes.
Alternative Hypothesis: The average time taken to solve the problem is faster ie <40 minutes.
Test Statistic: Calculate follows a t-distribution with 100-1=99 df and at 5% level of significance.
Tabulated value for t is -1.6604. Since the Calculated value is greater than tabulated value, we reject the null hypothesis. Ie the test gets faster than the normal.
b). Here, we get the p-value from the EXCEL function T.DIST(-8.8889,99,true) , we get the p-value as 1.4447E-14 which is almost closer to 0. Hence the p-value<0.05(our alpha level =0.05), we reject the null hypothesis.
c). The 95% confidence interval is obtained by
. We can see that the upper limit of the confidence interval is 33.764. The statement that the 95% confidence readout is 33.49 or more is not correct since 33.49 minutes is almost closer to the upper limit. The correct statement could have been 95% confidence readout is 30.24 or more and less than 33.764.
d). If we take another 100 samples, by the above confidence interval, I am expected to get a mean within 95% of the times. Hence, the statement is not true.