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

Determine the probability of tossing a head, Q. Determine the probability o...

Q. Determine the probability of tossing a head? Let B represent the event of tossing a heads with the nickel in example 2. Find P(B). Solution:   S = {(H, H), (H, T), (T, H

Inverse functions, We have seen that if y is a function of x, then fo...

We have seen that if y is a function of x, then for each given value of x, we can determine uniquely the value of y as per the functional relationship. For some f

#algebra 2 .., encoded with the matrix -3 -7 and 4 9. what lights up a socc...

encoded with the matrix -3 -7 and 4 9. what lights up a soccer stadium? ecoded message: {-3 - 7} {3 2 } {3 6} {57 127} {52 127} {77 173} {23 51)

Indeterminate forms, Indeterminate forms Limits we specified methods fo...

Indeterminate forms Limits we specified methods for dealing with the following limits. In the first limit if we plugged in x = 4 we would get 0/0 & in the second limit

Times fractons, In a garden, 1/8 of the flowers are tulips. 1/4 of the tuli...

In a garden, 1/8 of the flowers are tulips. 1/4 of the tulips are red. What fraction of the flowers in the garden are red tulips?

Pie chart, i have this data 48 degree, 72 degree, 43.2degree, 24degree , 40...

i have this data 48 degree, 72 degree, 43.2degree, 24degree , 40.8degree on this make a pie chart

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