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Elementary,Middle School,High School,College,University,PHD
| Teaching Since: | Jul 2017 |
| Last Sign in: | 304 Weeks Ago, 1 Day Ago |
| Questions Answered: | 15833 |
| Tutorials Posted: | 15827 |
MBA,PHD, Juris Doctor
Strayer,Devery,Harvard University
Mar-1995 - Mar-2002
Manager Planning
WalMart
Mar-2001 - Feb-2009
Part 1: What are the conditions for using the standard deviation formula when conducting a significance test? Be specific about p versus p-hat.Â
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Part 2: What are the conditions for approximating with a normal distribution?
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In each of the following cases state whether or not the normal approximation to the binomial should be used for a significance test on the population proportion p.Â
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a. n = 10 and H0: p = 0.4.Â
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b. n = 100 and H0: p = 0.6.Â
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c. n = 1000 and H0: p = 0.996.Â
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d. n = 500 and H0: p = 0.3.
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Leroy, a starting player for a major college basketball team, made only 38.4% of his free throws last season. During the summer he worked on developing a softer shot in the hope of improving his free-throw accuracy. In the first eight games of this season Leroy made 25 free throws in 40 attempts. Let p be his probability of making each free throw he shoots this season.Â
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a. State the null hypothesis H0 that Leroy's free-throw probability has remained the same as last year and the alternative Ha that his work in the summer resulted in a higher probability of success.Â
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b. Calculate the z statistic for testing H0Â versus Ha.Â
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c. Do you accept or reject H0Â for a = 0.05? Find the P-value.Â
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d. Give a 90% confidence interval for Leroy's free-throw success probability for the new season. Are you convinced that he is now a better free-throw shooter than last season?Â
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e. What assumptions are needed for the validity of the test and confidence interval calculations that you performed?Â
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4.A software company is planning for an upgrade of their software. You must charge customers $100. Are your customers willing to pay this much? You contact a random sample of 40 customers and find that 11 would pay $100 for the upgrade. If the upgrade is to be profitable, you will need to sell it to more than 20% of your customers. Do the sample data give good evidence that more than 20% are willing to buy?Â
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a. Formulate this problem as a hypothesis test. Give the null and alternative hypotheses.Â
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b. Carry out the significance test. Report the test statistic and the P-value.Â
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c. Should you proceed with plans to produce and market the upgrade?
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