Problem 6. A pharmaceutical company is evaluating the effectiveness of a new drug to treat insomnia. For a random group of 64 patients the average amount of sleep is 5 hours per night before receiving the drug. After one month of treatment, the average amount of sleep is 5.8 hours per night. The standard deviation of the differences is 0.6. Can the new drug be considered effective? a. Setup the appropriate null and alternative hypotheses. b. Construct the relevant test statistic. c. Test the hypotheses at the 0.05 significance level and state your conclusion.

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Problem 6. A pharmaceutical company is evaluating the effectiveness of a new drug
to treat insomnia. For a random group of 64 patients the average amount of sleep is 5
hours per night before receiving the drug. After one month of treatment, the average
amount of sleep is 5.8 hours per night. The standard deviation of the differences is 0.6.
Can the new drug be considered effective?
a. Setup the appropriate null and alternative hypotheses.
b. Construct the relevant test statistic.
c. Test the hypotheses at the 0.05 significance level and state your conclusion.
Transcribed Image Text:Problem 6. A pharmaceutical company is evaluating the effectiveness of a new drug to treat insomnia. For a random group of 64 patients the average amount of sleep is 5 hours per night before receiving the drug. After one month of treatment, the average amount of sleep is 5.8 hours per night. The standard deviation of the differences is 0.6. Can the new drug be considered effective? a. Setup the appropriate null and alternative hypotheses. b. Construct the relevant test statistic. c. Test the hypotheses at the 0.05 significance level and state your conclusion.
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