Nationally, about 11% of the total U.S. wheat crop is destroyed each year by hail.† An insurance company is studying wheat hail damage claims in a county in Colorado. A random sample of 16 claims in the county reported the percentage of their wheat lost to hail. 15 7 8 10 13 19 13 10 5 10 23 18 11 11 10 4 The sample mean is x = 11.7%. Let x be a random variable that represents the percentage of wheat crop in that county lost to hail. Assume that x has a normal distribution and σ = 5.0%. Do these data indicate that the percentage of wheat crop lost to hail in that county is different (either way) from the national mean of 11%? Use α = 0.01. (a) What is the level of significance? State the null and alternate hypotheses. Will you use a left-tailed, right-tailed, or two-tailed test? H0: μ = 11%; H1: μ > 11%; right-tailedH0: μ = 11%; H1: μ ≠ 11%; two-tailed H0: μ = 11%; H1: μ < 11%; left-tailedH0: μ ≠ 11%; H1: μ = 11%; two-tailed (b) What sampling distribution will you use? Explain the rationale for your choice of sampling distribution. The standard normal, since we assume that x has a normal distribution with known σ.The Student's t, since n is large with unknown σ. The Student's t, since we assume that x has a normal distribution with known σ.The standard normal, since we assume that x has a normal distribution with unknown σ. Compute the z value of the sample test statistic. (Round your answer to two decimal places.) (c) Find (or estimate) the P-value. (Round your answer to four decimal places.) Sketch the sampling distribution and show the area corresponding to the P-value. (d) Based on your answers in parts (a) to (c), will you reject or fail to reject the null hypothesis? Are the data statistically significant at level α? At the α = 0.01 level, we reject the null hypothesis and conclude the data are statistically significant.At the α = 0.01 level, we reject the null hypothesis and conclude the data are not statistically significant. At the α = 0.01 level, we fail to reject the null hypothesis and conclude the data are statistically significant.At the α = 0.01 level, we fail to reject the null hypothesis and conclude the data are not statistically significant. (e) State your conclusion in the context of the application. There is sufficient evidence at the 0.01 level to conclude that the average hail damage to wheat crops in the county in Colorado differs from the national average.There is insufficient evidence at the 0.01 level to conclude that the average hail damage to wheat crops in the county in Colorado differs from the national average.

Nationally, about 11% of the total U.S. wheat crop is destroyed each year by hail.† An insurance company is studying wheat hail damage claims in a county in Colorado. A random sample of 16 claims in the county reported the percentage of their wheat lost to hail. 15 7 8 10 13 19 13 10 5 10 23 18 11 11 10 4 The sample mean is x = 11.7%. Let x be a random variable that represents the percentage of wheat crop in that county lost to hail. Assume that x has a normal distribution and σ = 5.0%. Do these data indicate that the percentage of wheat crop lost to hail in that county is different (either way) from the national mean of 11%? Use α = 0.01. (a) What is the level of significance? State the null and alternate hypotheses. Will you use a left-tailed, right-tailed, or two-tailed test? H0: μ = 11%; H1: μ > 11%; right-tailedH0: μ = 11%; H1: μ ≠ 11%; two-tailed H0: μ = 11%; H1: μ < 11%; left-tailedH0: μ ≠ 11%; H1: μ = 11%; two-tailed (b) What sampling distribution will you use? Explain the rationale for your choice of sampling distribution. The standard normal, since we assume that x has a normal distribution with known σ.The Student's t, since n is large with unknown σ. The Student's t, since we assume that x has a normal distribution with known σ.The standard normal, since we assume that x has a normal distribution with unknown σ. Compute the z value of the sample test statistic. (Round your answer to two decimal places.) (c) Find (or estimate) the P-value. (Round your answer to four decimal places.) Sketch the sampling distribution and show the area corresponding to the P-value. (d) Based on your answers in parts (a) to (c), will you reject or fail to reject the null hypothesis? Are the data statistically significant at level α? At the α = 0.01 level, we reject the null hypothesis and conclude the data are statistically significant.At the α = 0.01 level, we reject the null hypothesis and conclude the data are not statistically significant. At the α = 0.01 level, we fail to reject the null hypothesis and conclude the data are statistically significant.At the α = 0.01 level, we fail to reject the null hypothesis and conclude the data are not statistically significant. (e) State your conclusion in the context of the application. There is sufficient evidence at the 0.01 level to conclude that the average hail damage to wheat crops in the county in Colorado differs from the national average.There is insufficient evidence at the 0.01 level to conclude that the average hail damage to wheat crops in the county in Colorado differs from the national average.

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Description: Nationally, about 11% of the total U.S. wheat crop is destroyed each year by hail.† An insurance company is studying wheat hail damage claims in a county in Colorado. A random sample of 16 claims in the county reported the percentage of their wheat l

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

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The sample mean is x = 11.7%. Let x be a random variable that represents the percentage of wheat crop in that county lost to hail. Assume that x has a normal distribution and σ = 5.0%. Do these data indicate that the percentage of wheat crop lost to hail in that county is different (either way) from the national mean of 11%? Use α = 0.01.

(a) What is the level of significance?

State the null and alternate hypotheses. Will you use a left-tailed, right-tailed, or two-tailed test?

H₀: μ = 11%; H₁: μ > 11%; right-tailedH₀: μ = 11%; H₁: μ ≠ 11%; two-tailed H₀: μ = 11%; H₁: μ < 11%; left-tailedH₀: μ ≠ 11%; H₁: μ = 11%; two-tailed

(b) What sampling distribution will you use? Explain the rationale for your choice of sampling distribution.

The standard normal, since we assume that x has a normal distribution with known σ.The Student's t, since n is large with unknown σ. The Student's t, since we assume that x has a normal distribution with known σ.The standard normal, since we assume that x has a normal distribution with unknown σ.

Compute the z value of the sample test statistic. (Round your answer to two decimal places.)

(c) Find (or estimate) the P-value. (Round your answer to four decimal places.)

Sketch the sampling distribution and show the area corresponding to the P-value.

(d) Based on your answers in parts (a) to (c), will you reject or fail to reject the null hypothesis? Are the data statistically significant at level α?

At the α = 0.01 level, we reject the null hypothesis and conclude the data are statistically significant.At the α = 0.01 level, we reject the null hypothesis and conclude the data are not statistically significant. At the α = 0.01 level, we fail to reject the null hypothesis and conclude the data are statistically significant.At the α = 0.01 level, we fail to reject the null hypothesis and conclude the data are not statistically significant.

(e) State your conclusion in the context of the application.

There is sufficient evidence at the 0.01 level to conclude that the average hail damage to wheat crops in the county in Colorado differs from the national average.There is insufficient evidence at the 0.01 level to conclude that the average hail damage to wheat crops in the county in Colorado differs from the national average.

Definition Definition Measure of central tendency that is the average of a given data set. The mean value is evaluated as the quotient of the sum of all observations by the sample size. The mean, in contrast to a median, is affected by extreme values. Very large or very small values can distract the mean from the center of the data. Arithmetic mean: The most common type of mean is the arithmetic mean. It is evaluated using the formula: μ = 1 N ∑ i = 1 N x i Other types of means are the geometric mean, logarithmic mean, and harmonic mean. Geometric mean: The nth root of the product of n observations from a data set is defined as the geometric mean of the set: G = x 1 x 2 ... x n n Logarithmic mean: The difference of the natural logarithms of the two numbers, divided by the difference between the numbers is the logarithmic mean of the two numbers. The logarithmic mean is used particularly in heat transfer and mass transfer. ln x 2 − ln x 1 x 2 − x 1 Harmonic mean: The inverse of the arithmetic mean of the inverses of all the numbers in a data set is the harmonic mean of the data. 1 1 x 1 + 1 x 2 + ...

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