2014 calculating strongpstrong-values - parkland college.pdfVIP

Parkland College A w ith Honors Projects Honors Program 2014 Calculating P-Values Isela Guerra Parkland College Re ommended Citation Guerra, Isela, Cal ulating P-Values (2014). A w ith Honors Proj ects. Paper 107. /ah/107 Open a ess to this Essay is brought to you by Parkland Colleges institutional repository, SPARK : Scholarship at Parkland. For more information, please ontact spark@. Isela Guerra Instructor: L. Smith Calculating P- values Part 1: Ex: Employees in an accounting firm claim that the mean salary of the firms accountants is less than that of its competitor’s which is $45,000. (Assume that the standard deviation of the firm’s accountants is known to be $5,200.) A random sample of 30 of the firm’s accountants has a mean salary of $43,500. Test the employees claim at the .01 level of significance. Step 1: H : µ = 45000 H : µ 45000 0 1 Step 2: α = .01 Using Z-Test Step 3: Figure 1 [Because this was a test about the mean, the population standard deviation is known and n≥30, the Z- test was selected. We are attempting to test the claim that the mean salary is less than $45,000. Our null hypothesis is then equal to $45,000. The argument is that the mean is less than $45,000 this becomes our alternative hypothesis. The level of significance is already given, α = .01 Because there is no data set we use the Z- Test, to get there we click “STATS” and scroll over to TEST then scroll down to Z-Test. This asks for the null hypothesis in the form of “µ :” the standard deviation 0 denoted by “σ”, the mean “x̄”, and “n”the sample size. Now, because we want to know if the mean salary is less than that of t