TUTORIAL ONE AND TWO SAMPLE TESTS OF HYPOTHESIS

1. A sample of 36 observations is selected from a normal population. The sample mean

is 49 and the population standard deviation is 5. Conduct the following test of
hypothesis using the 0.05 significance level.

H0: µ = 50
H1: µ ≠ 50
a) Is this a one- or two-tailed test?
two-tailed test
b) What is the decision rule?
Reject H0 when z does not fall in the region between -1.96 and 1.96
c) What is the value of the test statistic?
-1.2, found by z = (49-50)/(5/√"#)= -1.2
d) What is your decision regarding H0?
Fail to reject H0
e) What is the p-value? Interpret it.
P=0.2302, found by 2(0.5000-0.3849). A 23.02% chance of finding a z value this
large when H0 is true.

2. A sample of 36 observation is selected from a normal population. The sample mean is

21, and the population standard deviation is 5. Conduct the following test of
hypothesis using the 0.05 significance level.
H0: µ ≤ 20
H1: µ > 20
a) Is this a one- or two-tailed test?
One-tailed
b) What is the decision rule?
Reject H0 when z > 1.645
c) What is the value of the test statistic?
1.2, found by z = (21-20)/(5/√"#) = &. (
 d) What is your decision regarding H0?
Fail to reject H0 at the 0.05 significance level
e) What is the p-value? Interpret it.
P=0.1151, found by 0.5000-0.3849. an 11.51% chance of finding a z value this
large or larger when the null hypothesis is true

3. The manufacturer of the X-15 steel-belted radial truck tire claims that the mean
mileage the tire can be driven before the tread wears out is 60,000 miles. Assume the
mileage wear follows the normal distribution and the standard deviation of the
distribution is 5,000 miles. Crosset Truck Company bought 48 tires and found that the
mean mileage for its trucks is 59,500 miles. Is Crosset’s experience different from that
claimed by the manufacturer at the 0.05 significance level?

a) State the null hypothesis and the alternate hypothesis.

H0: µ = 60,000
H1: µ ≠ 60,000

b) State the decision rule.

Reject H0 if z < -1.96 or z > 1.96
c) Compute the value of the test statistic.
-0.69, found by:
Z=(59,500-60,000)/(5,000/√)*)= -0.69
d) What is your decision regarding H0?
Do not reject H0
e) What is the p-value? Interpret it.
P = 0.4902, found by 2(0.5000 -0.2549). Crosset’s experience is not difference
from that claimed by the manufacturer. If H0 is true, the probability of finding a
value more extreme than this is 0.4902

4. A recent national survey found that high school students watched an average (mean)
of 6.8 DVDs per month with a population standard deviation of 0.5 hours. The
distribution of times follows the normal distribution. A random sample of 36 college
 students revealed that the mean number of DVDs watched last month was 6.2. At the
0.05 significance level, can we conclude that college students watch fewer DVDs a
month than high school students?

a) State the null hypothesis and the alternate hypothesis.

H0: µ > 6.8
H1: µ < 6.8

b) State the decision rule.

Reject H0 if z<-1.645
c) Compute the value of the test statistic.
z=(6.2-6.8)/(0.5/√"#)= -7.2
d) What is your decision regarding H0?
H0 is rejected
e) What is the p-value? Interpret it.
P = 0, the mean number of DVDs watched is less than 6.8 permonth. If H0 is true,
there is virtually no chance of getting a statistic this small.

5. The Medical Rehabilitation Foundation reports that the average cost of rehabilitation
at private hospital for stroke victim is RM15,000. To see if the average cost of
rehabilitation is different at a particular private hospital, a researcher selects a random
sample of 35 stroke victims at the hospitals and finds that the average cost of their
rehabilitation is RM17,500. The standard deviation of the population is RM4,500. At
a = 0.01, can it be concluded that the average cost of stroke rehabilitation at a
particular hospital is different from RM15,000?

H 0 : µ = 15,000
H1 : µ ¹ 15,000
 17,500 - 15,000
z=
4,500
35
= 3.2867

CV = ±(. ,*

Decision: Reject H0.

Conclusion : the average cost of stroke rehabilitation at a particular hospital is different

from RM15,000