Hypothesis Testing

Dr. Wilson Cordova, LPT

 What is a Hypothesis?
I assume the mean • an assumption about
GRADE of this the population
class is 90%!
parameter
• an educated guess
about the population
parameter
Hypotheses Testing: This is the process of making an
inference or generalization on population parameters
based on the results of the study on samples.
Accept?
Reject?

Statistical Hypotheses: It is a guess or

prediction made by the researcher
regarding the possible outcome of the
study.
Hypotheses Testing
is deciding between what is
REALITY
and what is
COINCIDENCE!
 Steps in Hypothesis Testing
Step 1. Formulate Ho and Ha

Step 2. Set the level of significance  , usually

it is given in the problem.

Step 3. Formulate the decision rule (when to reject Ho);

Find the critical value/P-value.
Step 4. Test Statistics; do the computation.

Step 5. Make your decision

Step 6. Write a conclusion.

 Types of Statistical Hypotheses
Null Hypothesis (Ho): is
always hoped to be rejected
Always contains “=“ sign

Alternative Hypothesis (Ha):

•Challenges Ho
•Never contains “=“ sign
•Uses “< or > or “
•It generally represents the idea
which the researcher wants to prove.
 The Null Hypothesis: Ho
Ho: The average GPA of this class is 3.5
H0 : m = 3.5

The Alternative Hypothesis: Ha

Ha: The average GPA of this class is
a) higher than 3.5 (Ha: m > 3.5)
b) lower than 3.5 (Ha: m < 3.5)
c) not equal to 3.5 (Ha: m  3.5)
Level of Significance,  and the Rejection Region

= 0.05,means the probability of being right is 95% and the

probability of being wrong is 5%.

 = 0.01,means the researcher is taking a 1% risk of being

wrong and a 99% risk of being right.
 Types of Hypotheses Tests
1. One-tailed left directional test
– this is used if Ha uses < symbol

Critical value is
 = 0.05 obtained
Acceptance from the table
region
Area = 0.05
Rejection region
 Types of Hypotheses Tests
2. One-tailed right directional test
– this is used if Ha uses > symbol

Critical value is
 = 0.05 Acceptance
obtained
from the table
region

Area= 0.05
Rejection region
Types of Hypotheses Tests
3. Two-tailed test: Non-directional
– this is used if Ha uses  symbol

Critical value is
 = 0.05/2 obtained
Acceptance
from the table
region

Area=.025 Area=.025
Rejection region Rejection region
 Level of Significance,  and the Rejection Region

= 0.05,means the probability of being right is 95% , and

the probability of being wrong is 5%. So what is = 0.01?

Rejection region
Acceptance Area is 0.05
Region

 = 0.05
.
 Level of Significance,  and the Rejection Region

 = 0.01, means the researcher is taking a 1% risk of being

wrong and a 99% risk of being right. So, what is  = 0.05?

Rejection region
Area is 0.01 Acceptance
Region

= 0.01
 Level of Significance,  and the Rejection Region

 = 0.05 means the probability of committing Type I error is 5%.

 = 0.05, since it is 2-T, then  = 0.05/2= 0.025

Acceptance
region

Area=.025 Area=.025
Rejection region Rejection region
CRITERION:
1. One-tailed test (right directional)
“Reject H0 if Zc ≥ Zt”

2. One-tailed test (left directional)

“Reject H0 if Zc ≤ Zt”
3. Two-tailed test (both sides)
“Reject H0 if Zc ≥ Zt”
and
“Reject H0 if Zc ≤ Zt”
Testing the hypothesized
Value of the Mean
Examples
1. A pharmaceutical firm claims that the average
time for a drug to take effect is 18 minutes with
a standard deviation of 2 minutes. In a sample
of 36 trials, the average time was 20 minutes.
Test the claim against the alternative that the
average time is not equal to 18 minutes, using a
.01 level of significance.
1. A pharmaceutical firm claims that the average time for a
drug to take effect is 18 minutes with a standard deviation
of 2 minutes. In a sample of 36 trials, the average time
was 20 minutes. Test the claim against the alternative that
the average time is not equal to 18 minutes, using a .01
level of significance.

Given:
𝜇 = 18 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
𝜎 = 2 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
𝑛 = 36
𝑥 = 20 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
𝛼 = 0.01
 Answer (#1)
Ho : 𝜇 = 18 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
Ha : 𝜇 ≠ 18 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
(2 tailed test / both sides)
𝛼
Alpha : 𝛼 = 0.01 and = 0.005
2
C. Region/s : 𝑍𝑐 ≤ −2.575 𝑎𝑛𝑑 𝑍𝑐 ≥ 2.575
(𝑥−𝜇) 𝑛
Test Statistics : 𝑍𝑐 =
𝜎
(20 − 18) 36
𝑍𝑐 = = 6.0
2
Decision : Reject Ho, Accept Ha.
Conclusion :
Examples
2. The daily wages in a particular industry are
normally distributed with a mean of P466.00. If
a company in this industry employing 144
workers pays, on the average, P462.00 with a
standard deviation of P40, can this company be
accused of paying inferior wages at the .05 level
of significance?
2. The daily wages in a particular industry are normally
distributed with a mean of P466.00. If a company in this
industry employing 144 workers pays, on the average, P462.00
with a standard deviation of P40, can this company be
accused of paying inferior wages at the .05 level of
significance?

Given:
𝜇 = 𝑃466.00
𝑛 = 144 𝑤𝑜𝑟𝑘𝑒𝑟𝑠
𝑥 = 𝑃462.00
𝑠 = 𝑃40.00
𝛼 = 0.05
 Answer (#2)
Ho : 𝜇 = 𝑃466.00
Ha : 𝜇 < 𝑃466.00
(1 tailed test / left side)
Alpha : 𝛼 = 0.05
C. Region/s : 𝑍𝑐 ≤ −1.645
(𝑥−𝜇) 𝑛
Test Statistics : 𝑍𝑐 =
𝑠
(462 − 466) 144
𝑍𝑐 = = −1.2
40
Decision : Accept Ho (null hypothesis).
Conclusion :
Examples
3. The manager of an appliance store, after noting
that the average daily sales was only 12 units,
decided to adopt a new marketing strategy. Daily
sales under this strategy were recorded for 90 days
after which period the average was found to be 15
units with a s.d. of 4 units. Does this indicate that the
new marketing strategy increased the daily sales?
Assume that the distribution of daily sales are
approximately normally distributed. Use α = .01.
3. The manager of an appliance store, after noting that the
average daily sales was only 12 units, decided to adopt a new
marketing strategy. Daily sales under this strategy were
recorded for 90 days after which period the average was
found to be 15 units with a s.d. of 4 units. Does this indicate
that the new marketing strategy increased the daily sales?
Assume that the distribution of daily sales are approximately
normally distributed. Use α = .01.

Given:
𝜇 = 12 𝑢𝑛𝑖𝑡𝑠
𝑛 = 90 𝑑𝑎𝑦𝑠
𝑥 = 15 𝑢𝑛𝑖𝑡𝑠
𝑠 = 4 𝑢𝑛𝑖𝑡𝑠
𝛼 = 0.01
 Answer (#3)
Ho : 𝜇 = 12 𝑢𝑛𝑖𝑡𝑠
Ha : 𝜇 > 12 𝑢𝑛𝑖𝑡𝑠
(1 tailed test / right side)
Alpha : 𝛼 = 0.01
C. Region/s : 𝑍𝑐 ≥ 2.33
(𝑥−𝜇) 𝑛
Test Statistics : 𝑍𝑐 =
𝑠
(15 − 12) 90
𝑍𝑐 = = 7.12
4
Decision : Reject Ho, Accept Ha.
Conclusion :
Examples

4. The mean content of 30 bottles of brand S mango

juice is 355 milliliters (ml) with a standard
deviation of 9 ml. Is this in line with the
manufacturer’s claim that the bottle contains, on
the average, 360 ml?
Use a .05 level of significance.
4. The mean content of 30 bottles of brand S mango
juice is 355 milliliters (ml.) with a standard
deviation of 9 ml. Is this in line with the
manufacturer’s claim that the bottle contains, on
the average, 360 ml? Use 𝛼 = 0.05

Given:
𝑛 = 30 𝑏𝑜𝑡𝑡𝑙𝑒𝑠
𝑥 = 355 𝑚𝑙.
𝑠 = 9 𝑚𝑙.
𝜇 = 360 𝑚𝑙.
𝛼 = 0.05
 Answer (#4)
Ho : 𝜇 = 360 𝑚𝑙.
Ha : 𝜇 ≠ 360 𝑚𝑙.
(2 tailed test / both sides)
𝛼
Alpha : 𝛼 = 0.05 and = 0.025
2
C. Region/s : 𝑍𝑐 ≤ −1.96 𝑎𝑛𝑑 𝑍𝑐 ≥ 1.96
(𝑥−𝜇) 𝑛
Test Statistics : 𝑍𝑐 =
𝜎
(355 − 360) 30
𝑍𝑐 = = −3.04
9
Decision : Reject Ho, Accept Ha.
Conclusion :
 for Classroom Discussion

Use Z-test for large sample size

if 𝒏 ≥ 𝟑𝟎

Use t-test for small sample size

if 𝒏 < 𝟑𝟎
Examples

5. The mean content of 25 bottles of brand S mango

juice is 355 milliliters (ml) with a standard
deviation of 13 ml. Is this in line with the
manufacturer’s claim that the bottle contains, on
the average, 360 ml?
Use 𝛼 = 0.05 level of significance.
5. The mean content of 25 bottles of brand S mango
juice is 355 milliliters (ml) with a standard deviation of
13 ml. Is this in line with the manufacturer’s claim
that the bottle contains, on the average, 360 ml? Use
𝛼 = 0.05.

Given:
𝑛 = 25 𝑏𝑜𝑡𝑡𝑙𝑒𝑠
𝑥 = 355 𝑚𝑙.
𝑠 = 13 𝑚𝑙.
𝜇 = 360 𝑚𝑙.
𝛼 = 0.05
𝑑𝑒𝑔𝑟𝑒𝑒𝑠 𝑜𝑓 𝑓𝑟𝑒𝑒𝑑𝑜𝑚 𝑑𝑓 = 𝑣 = 𝑛 − 1 = 25 − 1 = 24
 Answer (#5)
Ho : 𝜇 = 360 𝑚𝑙.
Ha : 𝜇 ≠ 360 𝑚𝑙.
(2 tailed test / both sides)
𝛼
Alpha : 𝛼 = 0.05 and = 0.025
2
D. Of Freedom : 24
C. Region/s : 𝑡𝑐 ≤ −2.064 𝑎𝑛𝑑 𝑡𝑐 ≥ 2.064
(𝑥 −𝜇) 𝑛
Test Statistics : 𝑡𝑐 =
𝑠
(355 − 360) 25
𝑡𝑐 = = −1.92
13
Decision : Accept Ho (null hypothesis)
Conclusion :
Examples
6. In a time and motion study, it was found that the
average time required by workers to complete a certain
manual operation was 26.6 minutes with a standard
deviation of 3 minutes. A group of 25 workers was
randomly chosen to receive a special training for 2
weeks. After the training, it was found that their
average time was 24 minutes. Can it be concluded that
the special training speeds up the operation?
Use α = .05.
6. In a time and motion study, it was found that the average time
required by workers to complete a certain manual operation was
26.6 minutes with a standard deviation of 3 minutes. A group of 25
workers was randomly chosen to receive a special training for 2
weeks. After the training, it was found that their average time was
24 minutes. Can it be concluded that the special training speeds up
the operation?
Use α = .05.

Given:
𝜇 = 26.6 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
𝜎 = 3 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
𝑛 = 25 𝑤𝑜𝑟𝑘𝑒𝑟𝑠
𝑥 = 24 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
𝛼 = 0.05
𝑑𝑒𝑔𝑟𝑒𝑒 𝑜𝑓 𝑓𝑟𝑒𝑒𝑑𝑜𝑚 𝑑𝑓 = 𝑣 = 𝑛 − 1 = 25 − 1 = 24
 Answer (#6)
Ho : 𝜇 = 26.6 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
Ha : 𝜇 < 26.6 𝑚𝑖𝑛𝑢𝑡𝑒𝑠
(1 tailed test / left side)
Alpha : 𝛼 = 0.05
D. of Freedom : 24
C. Region/s : 𝑡𝑐 ≤ −1.711
(𝑥 −𝜇) 𝑛
Test Statistics : 𝑡𝑐 =
𝑠
(24 − 26.6) 25
𝑡𝑐 = = −4.33
3
Decision : Reject Ho, Accept Ha.
Conclusion :
 Testing the Difference
between Two Means
𝑥1 − 𝑥2
𝑍𝑐 =
𝜎1 2 𝜎2 2
+
𝑛1 𝑛2

𝑥1 − 𝑥2
𝑡𝑐 =
2 2
𝑛1 − 1 𝑠1 + 𝑛2 − 1 𝑠2 1 1
+
𝑛1 + 𝑛2 − 2 𝑛1 𝑛2
Examples
7. In a certain college in Metro Manila, a study was
conducted to determine whether the IQ scores of students
who came from provincial high schools differ significantly
from those students who came from city high schools. An IQ
test was given to 200 (100 from each group) college freshmen
and the results are as follows:

Students from provincial high schools: 𝑥1 = 99, 𝑠1 2 = 5

Students from city high schools: 𝑥2 = 102, 𝑠2 2 = 8

Set up and test the appropriate statistical hypothesis using

𝛼 = 0.05.
 Answer (#7)
Ho : 𝜇1 = 𝜇2
Ha : 𝜇1 ≠ 𝜇2
(2 tailed test / both sides)
𝛼
Alpha : 𝛼 = 0.05 and = 0.025
2
C. Region/s : 𝑍𝑐 ≤ −1.96 𝑎𝑛𝑑 𝑍𝑐 ≥ 1.96
𝑥1 −𝑥2 99−102
Test Statistics : 𝑍𝑐 = =
5 8
= −8.32
𝜎1 2 𝜎2 2 +
𝑛1
+𝑛 100 100
2

Decision : Reject Ho, Accept Ha.

Conclusion :
Examples
8. An accounting firm recently instituted a job enrichment
program involving 16 selected employees with the aim of
increasing employee motivation. The company researcher
wants to determine whether such program has achieved the
objectives by giving a motivation test to the 16 recipients of
the job enrichment program and the 12 other employees who
were not included in the program. For the first group, the
average score obtained on the motivation test was 68.5 with a
standard deviation of 8. For the second group, the average
score was 62.2 with a standard deviation of 10. Is the job
enrichment program effective? Use α = 0.10.
8. An accounting firm recently instituted a job enrichment program
involving 16 selected employees with the aim of increasing
employee motivation. The company researcher wants to
determine whether such program has achieved the objectives by
giving a motivation test to the 16 recipients of the job enrichment
program and the 12 other employees who were not included in the
program. For the first group, the average score obtained on the
motivation test was 68.5 with a standard deviation of 8. For the
second group, the average score was 62.2 with a standard deviation
of 10. Is the job enrichment program effective? Use α = 0.10.

Given:
𝑥1 = 68.5 𝑥2 = 62.2
𝑠1 = 8 𝑠2 = 10
𝑛1 = 16 𝑛2 = 12 𝛼 = 0.10
𝑑𝑓 = 𝑣 = 𝑛1 + 𝑛2 − 2 = 16 + 12 − 2 = 26
 Answer (#8)
Ho : 𝜇1 = 𝜇2
Ha : 𝜇1 > 𝜇2
(1 tailed test / right side)
Alpha : 𝛼 = 0.10 𝑎𝑛𝑑 𝑑𝑓 = 26
C. Region/s : 𝑡𝑐 ≥ 1.315
𝑥1 −𝑥2
Test Statistics : 𝑡𝑐 =
2 2
𝑛1 −1 𝑠1 + 𝑛2 −1 𝑠2 1 1
+
𝑛1 +𝑛2 −2 𝑛1 𝑛2

68.5 − 62.2
𝑡𝑐 = = 1.85
15 64 + 11 100 1 1
+
26 16 12

Decision : Reject Ho, Accept Ha.

Conclusion :
Decisions made regarding Ho
(Reject Ho/Do not reject Ho)

If we reject Ho, it means it is wrong!

If we accept Ho,
it doesn’t mean it is correct,
we just don’t have
enough evidence
to reject it!

© 1984-1994 T/Maker Co.

 Errors in Hypothesis Testing

Type I (error )
Rejecting a true Ho! Errors

Type II (  error )
Accepting a false Ho! Errors in Decisions

Errors in Conclusions

© 1984-1994 T/Maker Co.

END