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A plant manager is concerned her equipment may need recalibrating. It seems that the actual weight of the 15oz. cereal boxes it fills have been fluctuating. The standard deviation should be at most 0.5oz. In order to determine if the machine needs to be recalibrated, 84randomly selected boxes of cereal from the next day’s production were weighed. The standard deviation of the 84 boxes was 0.54. Does the machine need to be recalibrated?

Short Answer

Expert verified

Decision: Do not reject the null hypothesis H0

Conclusion: There is sufficient evidence to ensure that the variance of cereal boxes should be at most 0.5oz.

Step by step solution

01

Given Information

The null hypothesis is shown below:

H0:σ2≤(0.5)2

That is, the variance of cereal boxes should be at most 0.5oz.

Against the alternative hypothesis as shown below:

Ha:σ2>(0.5)2

That is, the variance of cereal boxes is greater than 0.5oz.

02

Calculation

The degrees of freedom can be calculated as shown below:

n-1=84-1

=83

From the above calculation, it is clear that the distribution for the test is χ832.

The test statistics can be calculated by using the formula shown below:

Test statistic =(n-1)s2σ2

Here, nis sample size, s2is sample variance and σ2is population variance. Therefore, the calculation is shown below:

Test statistic=(n-1)s2σ2

=(84-1)(0.54)2(0.5)2

=83×0.29160.25

=96.81

Hence, the test statistic is96.81.

03

Tables and Graph

The p-value can be calculated in excel by using CHIDIST ( ) formula as shown below:

Hence the p- value is 0.14

the Chi-Square sketch is given below:

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Most popular questions from this chapter

The average waiting time in a doctor’s office varies. The standard deviation of waiting times in a doctor’s office is 3.4 minutes. A random sample of 30 patients in the doctor’s office has a standard deviation of waiting times of 4.1 minutes. One doctor believes the variance of waiting times is greater than originally thought.

What type of test should be used?

Refer back to the information in Try It. How many service providing jobs are there expected to be in 2020 ? How many nonagriculture wage and salary jobs are there expected to be in 2020?

use a solution sheet to solve the hypothesis test problem. Go to Appendix E for the chi-square solution sheet. Round expected frequency to two decimal places car manufacturers are interested in whether there is a relationship between the size of the car an individual drives and the number of people in the driver’s family (that is, whether car size and family size are independent).To test this, suppose that 800car owners were randomly surveyed with the results in Table 11.44. Conduct a test of independence.

Family SizeSub & CompactMid-sizeFull-sizeVan & Truck
1
20
35
40
35
2
20
50
70
80
3-4
20
50
100
90
5+
20
30
70
70

Table 11.44

You want to buy a specific computer. A sales representative of the manufacturer claims that retail stores sell this computer at an average price of \(1,249 with a very narrow standard deviation of \)25. You find a website that has a price comparison for the same computer at a series of stores as follows: \(1,299;\)1,229.99;\(1,193.08;\)1,279;\(1,224.95;\)1,229.99;\(1,269.95;\)1,249. Can you argue that pricing has a larger standard deviation than claimed by the manufacturer? Use the 5% significance level. As a potential buyer, what would be the practical conclusion from your analysis?

What is the p-value?

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