Introductory Statistics

Prepared by:
Muhammad Athar
Assistant Professor of Statistics, Govt. Zamindar Graduate College,
Gujrat

Lecture-48(A)
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is known

• General Procedure:
• Step 1: Formulation of null and alternative
hypotheses
• Possible null and alternative hypotheses:
• 𝐻0 : 𝜇 = 𝜇0 𝐻1 : 𝜇 ≠ 𝜇0
• 𝐻0 : 𝜇 ≥ 𝜇0 𝐻1 : 𝜇 < 𝜇0
• 𝐻0 : 𝜇 ≤ 𝜇0 𝐻1 : 𝜇 > 𝜇0
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is known
• Step 2: Specification of level of significance
denoted by 𝛂
• Step 3: Test to be used to test the null
hypothesis
• Whenever we want to test population mean
with the condition that population standard
deviation is known then the test we use is:
𝑿−𝝁𝟎
• 𝒁= 𝝈
𝒏
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is known
• Step 4: Defining critical region / rejection region
• Critical region is always based on alternative hypothesis.
• If alternative hypothesis is 𝐻1 : 𝜇 ≠ 𝜇0 then we will reject
𝐻0 if 𝑍 ≥ 𝑍𝛼/2
• If alternative hypothesis is 𝐻1 : 𝜇 > 𝜇0 then we will reject
𝐻0 if 𝑍 ≥ 𝑍𝛼
• If alternative hypothesis is 𝐻1 : 𝜇 < 𝜇0 then we will reject
𝐻0 𝑖𝑓 𝑍 ≤ −𝑍𝛼
• Where, 𝑍𝛼/2 𝑎𝑛𝑑 𝑍𝛼 are critical values that are calculated
using t-distribution table of critical values.
• Note: critical region tells us how to reject a null hypothesis.
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is known

• Step 5: Draw a random sample and using

sample information calculate the value of Z
test.

• Step 6: We draw our conclusion whether we

accepted or rejected our null hypothesis.
 Example-1
Consider H0: μ= 100 versus H1: μ ≠100
A random sample of 64 observations produced a
sample mean of 98. Using α=.01, would you
reject the null hypothesis? The population
standard deviation is known to be 12.
 Example-2
Consider H0: μ = 45 versus H1: μ < 45
(a)
A random sample of 25 observations produced a sample
mean of 41.8. Using α= 0.025, would you reject the null
hypothesis? The population is known to be normally
distributed with σ = 6.
(b)
Another random sample of 25 observations taken from
the same population produced a sample mean of 43.8.
Using α = 0.025, would you reject the null hypothesis?
The population is known to be normally distributed with
σ = 6.
 Example-3
A consumer advocacy group suspects that a local
supermarket’s 10-ounce packages of cheddar
cheese actually weigh less than 10 ounces. The
group took a random sample of 20 such packages
and found that the mean weight for the sample was
9.955 ounces. The population follows a normal
distribution with the population standard deviation
of .15 ounce. Will you reject the hypothesis that
hypothesis that the mean weight of all such
packages is less than 10 ounces. Use α = 0.01.
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is unknown

• General Procedure
• Step 1: Formulation of null and alternative
hypotheses
• Possible null and alternative hypotheses:
• 𝐻0 : 𝜇 = 𝜇0 𝐻𝑎 : 𝜇 ≠ 𝜇0
• 𝐻0 : 𝜇 ≥ 𝜇0 𝐻𝑎 : 𝜇 < 𝜇0
• 𝐻0 : 𝜇 ≤ 𝜇0 𝐻𝑎 : 𝜇 > 𝜇0
• Step 2: Specification of level of significance
denoted by 𝛂
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is unknown

• Step 3: Test to be used to test the null hypothesis

• Whenever we want to test population mean with
the condition that population standard deviation
is unknown then the test we use is:
𝑿−𝝁𝟎
• 𝒕= 𝒔
𝒏

• with n-1 degrees of freedom (df), where 𝑿 is the

sample and 𝒔 is the sample standard deviation.
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is unknown
• Step 4: Defining critical region / rejection region
• Critical region is always based on alternative hypothesis.
• If alternative hypothesis is 𝐻𝑎 : 𝜇 ≠ 𝜇0 the critical region
will be 𝑡 ≥ 𝑡𝛼,𝑛−1
2
• If alternative hypothesis is 𝐻𝑎 : 𝜇 > 𝜇0 the critical region
will be 𝑡 ≥ 𝑡𝛼,𝑛−1
• If alternative hypothesis is 𝐻𝑎 : 𝜇 < 𝜇0 the critical region
will be 𝑡 ≤ −𝑡𝛼,𝑛−1
• Where, 𝑡𝛼,𝑛−1 𝑎𝑛𝑑 𝑡𝛼,𝑛−1 are critical values that are
2
calculated using t-distribution table of critical values.
• Note: critical region tells us how to reject a null hypothesis.
 Testing of hypothesis about population mean (μ)
when population standard deviation (σ) is unknown

• Step 5: Draw a random sample and using

sample information calculate the value of t
test.
• Step 6: We draw our conclusion whether we
accepted or rejected our null hypothesis.
 Example-1
• Grand Auto Corporation produces auto batteries.
The company claims that its top-of-the-line Never
Die batteries are good, on average, for at least 65
months. A consumer protection agency tested 45
such batteries to check this claim. It found that
the mean life of these 45 batteries is 63.4
months, and the standard deviation is 3 months.
Test that the mean life of all such batteries is less
than 65 months. What will your conclusion be if
the significance level is 5%?
• [hint: at-least means ≥, at-most means ≤]
 Example-2
Consider H0: μ = 80 versus H1: μ ≠ 80 for a
population that is normally distributed.
A random sample of 25 observations taken from
this population produced a sample mean of 77
and a standard deviation of 8. Using α = .01,
would you reject the null hypothesis?
 Example-3
According to the Magazine Publishers of America
(www.magazine.org), the average visit at the magazines’
Web sites during the fourth quarter of 2007 lasted 4.145
minutes. Forty-six randomly selected visits to magazine’s
Web sites during the fourth quarter of 2009 produced a
sample mean visit of 4.458 minutes, with a standard
deviation of 1.14 minutes. Using the 10% significance
level and the critical value approach, can you conclude
that the length of an average visit to these Web sites
during the fourth quarter of 2009 was longer than 4.145
minutes? What will your conclusion be using α = 0.10?