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In each of the following instances, determine whether you would use a z- or t-statistic (or neither) to form a 90%confidence interval and then state the appropriate z- ort-statistic value for the confidence interval.

a. Random sample of size n = 32 from a normal distribution with a population mean of 60 and population standard deviation of 4.

b. Random sample of size n = 108 from an unknown population.

c. Random sample of size n = 12 from a normal distribution witha sample mean of 83 and sample standard deviation of 2.

d. Random sample of size n = 24 from a normal distribution withan unknown mean and sample standard deviation of 3.

Short Answer

Expert verified

a. Need to use Z-test, z value is 1.645.

b. Need to use Z-test, z value is 1.645.

c. Need to use T-test, t value is 1.363.

d. Need to use T-test, t value is 1.319

Step by step solution

01

Defining z-test and t-test assumptions

A Z-test and T-test are two statistical hypothesis techniques that help evaluate the values of critical points at a level of significance in order to accept or reject the hypothesis formulated.

  • If the population standard deviation is not known or if the sample size is less than 30, need to use the T-Test.
  • If the population standard deviation is known and when the sample size is greater than 30 and comes from a normal distribution, need to use Z-test.
02

Solving the subpart a. 

a. Since n>30 and it comes from a normal population with a known standard deviation=4, Z-test should be used. Therefore,n=32,  μ=60,  σ=4

The value of Z-test is:

Z=X-μσn=X-60432

For a 90% confidence interval the Z-value will be:1.645

03

Solving the subpart b.

Since the population is unknown, we use the z-test as n=108, which is greater than 30. This implies sample size is quite large.

For a 90% confidence interval the Z-value will be:1.645

04

Solving the subpart c.

Since the population is normal, n=12 which is less than 30 and sample standard deviation is 2, given,n=12,  x¯=83,  s=2 . This implies one have to use t-test.

The value of T-test is:

t=X¯-μsn=83-μ212

For a 90% confidence interval, the t-value will depend on parameter and degree of freedom. Since here n is 12, the degree of freedom is n-1, which is 12-1=11.

Therefore, t value for 11 degrees of freedom for 0.9 level of significance is 1.363.

05

Solving the subpart d.

Since the population is normal, n=24 which is less than 30 and sample standard deviation is 3, we have, n=24,  s=3. This implies onee have to use t-test.

The value of T-test is:

t=X¯-μsn=X¯-μ324

For a 90% confidence interval, the t-value will depend on parameter and degree of freedom. Since here n is 24, the degree of freedom is n-1, which is 24-1=23.

Therefore, t value for 23 degrees of freedom for 0.9 level of significance is 1.319.

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