In: Statistics and Probability
You know that y is a normally distributed variable with a variance of 9. You do not know its mean. You collect some data. For each sample below, form the 95% confidence interval and test the null hypothesis of the mean equaling 2.
a. (8,1,5)
b. (8,1,5,-4,-8)
c. (8,1,5,-4,-8,4,8,5)
We know the population Variance, 2 = 9
So, Standard Deviation, = 3
We need to find 95% confidence interval in each case,
z-score = 1.96
Null Hypotheses, Ho: = 2
a.) Sample -> (8,1,5)
So, sample mean, m = 14 / 3 = 4.67
n = 3
Confidence Interval, CI = m ( z * / )
CI = 4.67 ( 1.96 * 3 / )
CI = 4.67 ( 3.394)
CI = (1.276, 8.064)
Since Confidence interval contains value 2, we cannot reject Null Hypotheses
b.) Sample -> (8,1,5,-4,-8)
sample mean, m = 2 / 5 = 0.4
n = 5
Confidence Interval, CI = m ( z * / )
CI = 0.4 ( 1.96 * 3 / )
CI = 0.4 ( 2.629)
CI = (-2.229, 3.029)
Since Confidence interval contains value 2, we cannot reject Null Hypotheses
C.) Sample -> (8,1,5,-4,-8,4,8,5)
sample mean, m = 19 / 8 = 2.375
n = 8
Confidence Interval, CI = m ( z * / )
CI = 2.375 ( 1.96 * 3 / )
CI = 2.375 ( 2.0789)
CI = (0.2961, 4.453)
Since Confidence interval contains value 2, we cannot reject Null Hypotheses