Question

Q2: Do social recommendations increase ad effectiveness? A study of online viewers who arrived at an advertising video for a particular brand by following a social media recommendation link to viewers who arrived at the same video by web browsing. Data were collected on whether the viewer could correctly recall the brand being advertised after seeing the video. The results were:

Yes No

Recommendation 407 150

Browsing 193 91

Determine whether brand recall is higher following a social media recommendation than with only web browsing at alpha=.05.

1. What is the claim from the question? What are Null and Alternative Hypothesis for this problem?

2. What kind of test do you want to use?

A. Two Samples Independent Population T Test with Equal Variance

B. Two Samples related Population T Test

C. Two Samples Independent Population T Test with Unequal Variance

D. Two Sample Proportion Z Test

E. Two Sample Variance F Test

3. Calculate Test Statistics

4. Find Critical Value(s) and appropriate degree of freedom if necessary Test Statistics:

5. Find P-value

6. What is the conclusion that you could make? Clearly write down the conclusion and business statement and illustrate what type error you could make.

Answer 1

1. Claim: Social media recommendation brand recall is higher than with web browsing brand recall at alpha=.05

Null and Alternative Hypothesis:

2. Test used:

Answer D: Two Sample Proportion Z Test

3. Sample 1, Social media recommendation:

Sample 2, Web browsing:

Pooled proportion:

Test statistic:

4. Critical value:

At = 0.05, right tailed critical value, z_c = 1.64

5. P-value = 0.0605

6. It is observed that z = 1.551 < z_c = 1.64, it is then concluded that the null hypothesis is not rejected.

Using the P-value approach: As p = 0.0605 > 0.05, it is concluded that the null hypothesis is not rejected.

There is not enough evidence to claim that Social media recommendation brand recall is higher than with web browsing brand recall at alpha=0.05.

We could make Type 1 error.

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