A hospital recruiting company for doctors is conducting a study to determine whether the average doctor's salary (in thousands of dollars) is significantly more than $86 thousand dollars. A random sample of 26 doctors' salaries (in thousands of dollars) is given in the table. Test the hospital recruiting company's claim using a 1% level of significance. Salary (in thousands of dollars) 96.87 82.57 86.49 93.06 91.93 94.94 95.87 92.26 91.19 97.09 86.81 89.87 91.2 92.77 97.61 88.12 81.65 85.94 90.2 96.25 85.12 96.05 82.72 90.87 81.8 94.91 Preliminary: a. Is it safe to assume that n ≤ 5% of all doctors earning a salary? Yes No b. Is n > 30? No Yes c. Since n < 30, then determine whether the box plot of salaries contains any outliers. 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 Salary There are outliers from the box plot. There aren't outliers from the box plot. Note: Without being given that the population is normally distributed, and given a sample less than 30, we are required to verify that there are no outliers by plotting a box plot and a normal probability plot. Test the claim: a. What are the null and alternative hypotheses? Ho Select an answer ✰ ? ◇ H₁ Select an answer ? ◇ b. Based on the hypotheses, calculate the following. Round to four decimal places. Test Statistic = p-value = c. Make a decision. Select an answer d. Make a conclusion regarding the claim. Select an answer ✰ that the population mean doctor's salary (in thousands of dollars) is significantly more than $86 thousand dollars.

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A hospital recruiting company for doctors is conducting a
study to determine whether the average doctor's salary (in
thousands of dollars) is significantly more than $86 thousand
dollars. A random sample of 26 doctors' salaries (in
thousands of dollars) is given in the table. Test the hospital
recruiting company's claim using a 1% level of significance.
Salary (in thousands of dollars)
96.87 82.57
86.49 93.06 91.93
94.94 95.87 92.26
91.19 97.09 86.81
89.87 91.2 92.77
97.61 88.12
81.65 85.94
90.2 96.25
85.12 96.05 82.72
90.87
81.8
94.91
Preliminary:
a. Is it safe to assume that n ≤ 5% of all doctors
earning a salary?
Yes
No
b. Is n > 30?
No
Yes
c. Since n < 30, then determine whether the box plot
of salaries contains any outliers.
81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96
Salary
There are outliers from the box plot.
There aren't outliers from the box plot.
Note: Without being given that the population is normally
distributed, and given a sample less than 30, we are
required to verify that there are no outliers by plotting a
box plot and a normal probability plot.
Test the claim:
a. What are the null and alternative hypotheses?
Ho Select an answer ✰ ? ◇
H₁ Select an answer ? ◇
b. Based on the hypotheses, calculate the following.
Round to four decimal places.
Test Statistic =
p-value =
c. Make a decision.
Select an answer
d. Make a conclusion regarding the claim.
Select an answer
✰ that the
population mean doctor's salary (in thousands of
dollars) is significantly more than $86 thousand
dollars.
Transcribed Image Text:A hospital recruiting company for doctors is conducting a study to determine whether the average doctor's salary (in thousands of dollars) is significantly more than $86 thousand dollars. A random sample of 26 doctors' salaries (in thousands of dollars) is given in the table. Test the hospital recruiting company's claim using a 1% level of significance. Salary (in thousands of dollars) 96.87 82.57 86.49 93.06 91.93 94.94 95.87 92.26 91.19 97.09 86.81 89.87 91.2 92.77 97.61 88.12 81.65 85.94 90.2 96.25 85.12 96.05 82.72 90.87 81.8 94.91 Preliminary: a. Is it safe to assume that n ≤ 5% of all doctors earning a salary? Yes No b. Is n > 30? No Yes c. Since n < 30, then determine whether the box plot of salaries contains any outliers. 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 Salary There are outliers from the box plot. There aren't outliers from the box plot. Note: Without being given that the population is normally distributed, and given a sample less than 30, we are required to verify that there are no outliers by plotting a box plot and a normal probability plot. Test the claim: a. What are the null and alternative hypotheses? Ho Select an answer ✰ ? ◇ H₁ Select an answer ? ◇ b. Based on the hypotheses, calculate the following. Round to four decimal places. Test Statistic = p-value = c. Make a decision. Select an answer d. Make a conclusion regarding the claim. Select an answer ✰ that the population mean doctor's salary (in thousands of dollars) is significantly more than $86 thousand dollars.
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