4. Conducting a Hypothesis test
1- state the hypothesis: Ho & Ha (mutually exclusive)
Null hypothesis alternative hypothesis # of tails
μ = S μ = S 2
μ= S μ < S 1 (left side tail)
μ= S μ > S 1 (right side tail)
S represents a specified value that ( μ) the population mean is related to
2- Analysis Plan
* one sample t-test to determine whether the hypothesized
means differs significantly from the observed sample means (must
also find SE and degrees of freedom)
5. 3- Analyze: find the TS and its associated P-value for a t-test
* when the population is at least 10 times larger than the sample size, then the SE
can be approximated by:
where degrees of freedom = n-1
* TS: t= x - μ x= sample mean
SE μ = hypothesized population mean in the null hypothesis
*P-value- probability of observing a sample statistic as extreme as the TS
(where the TS is a t-score)
4- Interpret- compare the P-value to the significance level and reject
null when the P-value is less than the Significance level
