Explanation Given info: To examine the average expenses required to make a movie, a random sample of 15 recent action movies and the expenses were noted. The results of based on the survey is x ¯ = $ 62.3 million and s 2 = $ 90.25 million . The additional information is about the population parameter is μ = $ 54.8 million and level of significance α = 0.05 . Calculation: The testing hypotheses are given below: Null hypothesis H 0 : H 0 : μ = 54.8 Alternative hypothesis H 1 : H 1 : μ > 54.8 Here, the information about the population standard deviation is not revealed. Thus, z -test about mean cannot be applied in this case. Requirements for t-test about mean when population standard deviation ( σ ) unknown: The sample must be drawn randomly from the desired population. The sample must be greater than or equal to 30, if not the population must be approximately normal. Here, the sample size is less than 30 and but the sample is drawn randomly. Hence, an assumption about the normality of the population has to be made. Thus, t- test about mean can be valid in this case. Decision rule based on classical approach: If t > t α , then reject the null hypothesis H 0 . Critical value: For the level of significance α = 0.05 . Degrees of freedom: The sample size is n = 15 . The degrees of freedom is obtained as, d . f = n − 1 = 15 − 1 = 14 From Table F of the t- distribution from Appendix A under one tail, the critical value is 1.761. Thus, the critical value ( t α ) for the right tailed test is 1

Bluman, Elementary Statistics: A Step By Step Approach, © 2015, 9e, Student Edition (reinforced Binding) (a/p Statistics)

9th Edition

ISBN: 9780021418251

Author: Allan G. Bluman

Publisher: MCGRAW-HILL HIGHER EDUCATION

See similar textbooks

Question

Chapter 8.3, Problem 13E

To determine

To test: Whether there is any sufficient evidence to infer that the average amount required to produce a movie is greater than $54.8 million.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Chapter 8.3, Problem 12E

Chapter 8.3, Problem 14E

Students have asked these similar questions

The battery temperatures are a major concern for us. Can you analyze and describe the sample data? What are the average and median temperatures? How much variability is there in the temperatures? Is there anything that stands out? Our engineers’ assumption is that the temperature data is normally distributed. If that is the case, what would be the likelihood that the Safety Zone temperature will exceed 5.15 degrees? What is the probability that the Safety Zone temperature will be less than 4.65 degrees? What is the actual percentage of samples that exceed 5.25 degrees or are less than 4.75 degrees? Is the manufacturing process producing units with stable Safety Zone temperatures? Can you check if there are any apparent changes in the temperature pattern? Are there any outliers? A closer look at the Z-scores should help you in this regard.

Need help please

Please conduct a step by step of these statistical tests on separate sheets of Microsoft Excel. If the calculations in Microsoft Excel are incorrect, the null and alternative hypotheses, as well as the conclusions drawn from them, will be meaningless and will not receive any points. 4. One-Way ANOVA: Analyze the customer satisfaction scores across four different product categories to determine if there is a significant difference in means. (Hints: The null can be about maintaining status-quo or no difference among groups) H0 = H1=

Chapter 8 Solutions

Ch. 8.1 - Applying the Concepts 81 Eggs and Your Health The...Ch. 8.1 - Define null and alternative hypotheses, and give...Ch. 8.1 - What is meant by a type I error? A type II error?...Ch. 8.1 - What is meant by a statistical test?Ch. 8.1 - Explain the difference between a one-tailed and a...Ch. 8.1 - What is meant by the critical region? The...Ch. 8.1 - What symbols are used to represent the null...Ch. 8.1 - What symbols are used to represent the...Ch. 8.1 - Explain what is meant by a significant difference.Ch. 8.1 - When should a one-tailed test be used? A...

Knowledge Booster