Hypothesis testing of the difference between proportions, Mathematics

Assignment Help:

Hypothesis Testing Of The Difference Between Proportions

Illustration

Ken industrial producer have manufacture a perfume termed as "fianchetto." In order to test its popularity or reputation in the market, the manufacturer carried a random surveyor study in back rank city whereas 10,000 consumers were interviewed after that 7,200 demonstrated preferences. The manufacturer moved also to area Rook town where he interviewed 12,000 consumers out of that 1,0000 demonstrated preference for the product.

Required

Design a statistical test and thus use it to advise the manufacturer regarding the differences in the proportion, at 5 percent level of significance.

Solution

H0 : π1 = π2

H1 : π1 ≠ π2

The critical value for this two tailed test at 5 percent level of significance = 1.96.

 

Now Z = ¦{(P1 - P2) - (Π1 - Π2)/S(P1 - P2)}¦

But as the null hypothesis is π1 = π2, the second part of the numerator disappear that is

π1 - π2 = 0 which will usually be the case at this level.

 

Then Z = ¦ {(P1 - P2)/S (P1 - P2)}¦

Whereas:

 

Sample 1

Sample 2

Sample size

n1 = 10,000

n2 = 12,000

Sample proportion of success

P1 =0.72

P2 = 0.83

Population proportion of success.

Π1

Π2

 

Here S (P1 - P2) = √{(pq/n1) + √(pq/n1)}   

 

Whereas p = (p1n1 + p2n2)/ (n1 + n2)

And q = 1 - p;

∴ in our case

P = {10,000 (0.72) + 12,000 (0.83)}/(10,000 + 12,000)

= 84,000/22,000

= 0.78

∴ q = 0.22

S (P1 - P2) = √{(0.78(0.22)/10,000) + (0.78(12,000)/12,000)}

= 0.00894

= ¦(0.72 - 0.83)/0.00894¦  

=12.3

 

As 12.3 > 1.96, we reject the null hypothesis however accept the alternative. The differences among the proportions are statistically significant. It implies that the perfume is more popular in Rook town rather than in Back rank city.

 


Related Discussions:- Hypothesis testing of the difference between proportions

Articulate reasons and construct arguments, By such interactions children l...

By such interactions children learn to articulate reasons and construct arguments. When a child is exposed to several interactions of this kind, she gradually develops the ability

Piecewise, x=±4, if -2 = y =0 x=±2, if -2 = y = 0

x=±4, if -2 = y =0 x=±2, if -2 = y = 0

Division, there are 2,500 chips in a bag you slit them up into 20 groups ho...

there are 2,500 chips in a bag you slit them up into 20 groups how many chips are in a group

Math help, Can you help me with what goes into 54

Can you help me with what goes into 54

Example of inflection point-differential equation, Example of inflection po...

Example of inflection point Determine the points of inflection on the curve of the function y = x 3 Solution The only possible inflexion points will happen where

Are parrellel meet at infinity?, no the parallel lines do not meet at infin...

no the parallel lines do not meet at infinity because the parallel lines never intersect each other even at infinity.if the intersect then it is called perpendicuar lines

Parametric curve - parametric equations & polar coordinates, Parametric Cur...

Parametric Curve - Parametric Equations & Polar Coordinates Here now, let us take a look at just how we could probably get two tangents lines at a point.  This was surely not

Finding absolute extrema, Finding Absolute Extrema : Now it's time to see ...

Finding Absolute Extrema : Now it's time to see our first major application of derivatives.  Specified a continuous function, f(x), on an interval [a,b] we desire to find out the

Trigonometry, trigonometric ratios of sum and difference of two angles

trigonometric ratios of sum and difference of two angles

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd