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

Jamal, jamal works every morning in his garden. yesterday he worked 3 AND 3...

jamal works every morning in his garden. yesterday he worked 3 AND 3-4HOURS. HE SPENT 1-3 OF THE TIME PULLING WEEDS. HOW MANY HOURS DID JAMAL SPEND PULLING WEEDS?

HELP, WHAT TWO SIX DIDGIT NUMBERS CAN YOU ADD 984,357

WHAT TWO SIX DIDGIT NUMBERS CAN YOU ADD 984,357

Factors, What are the factors of 956

What are the factors of 956

Which of the subsequent binomials could represent the length, The area of a...

The area of a rectangle is represented through the trinomial: x 2 + x - 12. Which of the subsequent binomials could represent the length and width? Because the formula for the

Implementation of kruskal algorithm, You are required to implement Kruskal'...

You are required to implement Kruskal's algorithm for finding a Minimum Spanning Tree of Graph.  This will require implementing : A Graph Data Type (including a display meth

Definition of differential equation, The first definition which we must cov...

The first definition which we must cover is that of differential equation. A differential equation is any equation that comprises derivatives, either partial derivatives or ordinar

Eometyr, Lines EF and GH are graphed on this coordinate plane. Which point ...

Lines EF and GH are graphed on this coordinate plane. Which point is the intersection of lines EF and GH?

Determine the probability - mean and standard deviation, The scores of stud...

The scores of students taking the ACT college entrance examination are normally distributed with a mean m = 20.1 and a standard deviation s = 5.8. A single student is selected a

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