In: Statistics and Probability
According to a labor union contract, the mean income for all senior-level assembly-line workers in a large company must be $520 per week. Women who work for the company think that men workers are being paid more than the standard set in the labor contract. A representative of a women’s group decides to test this claim about the mean income µ for men employees, using α = .05. In a random sample of nine men workers, she finds that the sample mean income is $610 per week and the sample standard deviation s is $90.
State the null and alternative hypotheses in symbols.
State the null and alternative hypotheses in words.
Is this a one-sided or a two-sided test? How do you know? (4 points)
Should you use a z-test or a t-test for this problem? Why?
Find the critical value of the test statistic.
Calculate the value of the test statistic for this sample.
Based on these results, can you reject the null hypothesis or not?
Write a sentence to explain your conclusion about the average weekly income of women workers compared to the labor contract’s standard of $520 per week.