5. Some states that operate a lottery believe that restricting the use of lottery profits to supporting education makes the lottery more profitable. Other states permit general use of the lottery income. The profitability of the lottery for a group of states in each category is given below: State Lottery Profits For Education For General Use State % Profit State % Profit New Mexico 24 Massachusetts 21 Idaho 25 Maine 22 Kentucky 28 lowa 24 South Carolina 28 Colorado 27 Georgia 28 Indiana 27 Missouri 29 District of Columbia 28 Ohio 29 Connecticut 29 Tennessee 31 Pennsylvania 32 Florida 31 Мaryland 32 California 35 North Carolina 35 New Jersey 35 l of States 12 * of States 9. Mean 29.833 Mean 26.889 St. Dev St. Dev. 3.7132 3.9511 Let 41 denote the mean profitability of states who use their lottery profits for education, and uz denote the mean profitability of states who use their lottery profits for general use. (a) State the appropriate hypotheses to be tested for this problem (refer to the motivation behind this problem stated before the table). (b) Draw a picture of the rejection region on the appropriate curve, and identify the critical value. Assume that a significance level of a = 0.1 is to be used. (c) Calculate the value of the appropriate test statistic; make sure to show all of your intermediate work to ensure the potential of obtaining partial credit. (d) What should be the decision and conclusions of this hypothesis test?
Inverse Normal Distribution
The method used for finding the corresponding z-critical value in a normal distribution using the known probability is said to be an inverse normal distribution. The inverse normal distribution is a continuous probability distribution with a family of two parameters.
Mean, Median, Mode
It is a descriptive summary of a data set. It can be defined by using some of the measures. The central tendencies do not provide information regarding individual data from the dataset. However, they give a summary of the data set. The central tendency or measure of central tendency is a central or typical value for a probability distribution.
Z-Scores
A z-score is a unit of measurement used in statistics to describe the position of a raw score in terms of its distance from the mean, measured with reference to standard deviation from the mean. Z-scores are useful in statistics because they allow comparison between two scores that belong to different normal distributions.
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