Testing of hypothesis, Applied Statistics

Testing of Hypothesis

One objective of sampling theory is Hypothesis Testing. Hypothesis testing begins by making an assumption about the population parameter. Then we gather sample data and determine the sample statistic. To test the validity of our hypothesis the difference between the hypothesized value and the actual value of the sample statistic will be determined. If the difference between the hypothesized population parameter and the actual value is large then we automatically reject our hypothesis. If it is small, we accept it.

Example 

A cinema hall has a cool drinks fountain supplying Orange and Ditzy Colas. When the machine is turned on, it fills a 550 ml cup with 500 ml of the required drink.

The manager has two problems on hand.

  1. The clients have been complaining that the machine supplies less than 500 ml.

  2. The two colas are supplied by two different manufacturers, each pressurizing him to drop the other supplier. Should he drop one?

On a particular day, he took a survey of the clients. There were n clients. The percentage of clients asking for Ditzy was   1849_sampling.png  . The rest   639_testing of hypothesis.png  , took Orange (  1849_sampling.png  +   639_testing of hypothesis.png   = 1). Moreover, the average volume of liquid in the cups was   1009_computation of covariance ungrouped data2.png   ml.

(The values of   1849_sampling.png   and   1009_computation of covariance ungrouped data2.png   will be given later.)

How can we help him to solve the problems?   

Posted Date: 9/15/2012 3:51:35 AM | Location : United States







Related Discussions:- Testing of hypothesis, Assignment Help, Ask Question on Testing of hypothesis, Get Answer, Expert's Help, Testing of hypothesis Discussions

Write discussion on Testing of hypothesis
Your posts are moderated
Related Questions
solve problems

How vital statistics are affects on our human life

Applications of Standard Error   Standard Error is used to test whether the difference between the sample statistic and the population parameter is significant or is d

get a questionnaire that captured age at first marriage

Chi-square analysis can be used with both Goodness-of-Fit Tests and with Tests for Independence. There are specific instances when each test should be used based on the information

Create the Venn diagram: A   - you work for an insurance company.  80% of your company's staff is sales force and 70% of your company's sales is force is male. in your company

The total number of overtime hours (in 1000s) worked in a large steel mill was recorded for 16 quarters, as shown below. Year Quarter Overtime hour

What would be the cutoff score to indicate a score that is in the top 15% of the scores on a test with a mean of 100 and a standard deviation of 15? This question has multiple p

Based on the following graphs (next page) you should write a discussion report (2 pages) on: 1. Determination of whether the open-loop system response is consistent with a 1st o

Methods of Forecasting  Various techniques which are generally used in business forecasting are as under: 1.      Forecasting  through the opinion of heads  of department