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Question: Two independent random samples have been selected鈥100 observations from population 1 and 100 from population 2. Sample means x1=26.6,x2= 15.5 were obtained. From previous experience with these populations, it is known that the variances are12=9and22=16 .

a. Find (x1-x2).

b. Sketch the approximate sampling distribution for (x1-x2), assuming (1-2)=10.

c. Locate the observed value of (x1-x2)the graph you drew in part

b. Does it appear that this value contradicts the null hypothesis H0:(1-2)=10?

d. Use the z-table to determine the rejection region for the test againstH0:(1-2)10. Use=0.5.

e. Conduct the hypothesis test of part d and interpret your result.

f. Construct a confidence interval for 1-2. Interpret the interval.

g. Which inference provides more information about the value of 1-2鈥 the test of hypothesis in part e or the confidence interval in part f?

Short Answer

Expert verified

Answer

Random sampling is a sampling strategy in which every sample has an equal chance of being selected.

Step by step solution

01

(a) Calculate the value of σ(x¯1 - x¯2)

x1-x2=12n1+22n2=9100+16100=25100=510=0.5

Therefore, the value ofx1-x2 is 0.5.

02

(b) Diagrammatic presentation of the approximate sampling distribution for(x¯1-x¯2) .

The mean of the sampling distribution x1-x2is the population mean 1-2.

That is x1-x2=1-2, which is independent of sample size.

So, the diagrammatic presentation of 1-2=10will be as below 鈥

03

(c) Locate the observed value (x¯1-x¯2)on the graph.

The valuex1-x2 will be

=26.6-15.5=11.1

Now, we will locate it on the graph below 鈥

The observed valuex1-x2 contradicts the null hypothesis H0:1-2=10.

04

 Step 4: (d) Identify the rejection region.

Null Hypothesis:H0:1-2=10

Alternate Hypothesis:H0:1-210

Confidence level = 0.95, so=1-0.95=0.05

Level of significance =5%

The critical value Z at 5% the level of significance is 1.96.

So, the rejection region will be as below 鈥

If , z>z2=1.96then reject the null hypothesis.

If ,z>-z2=-1.96 then reject the null hypothesis.

05

(e) Conduct the hypothesis testing.

Null Hypothesis:H0:1-2=10

Alternate Hypothesis:H0:1-210

Confidence level = 0.95, so=1-0.95=0.05

Level of significance = 5%

The critical value of Z the level of significance is 1.96.

Z=x1-x2-1-212n+22n=26.6-15.5-109100+16100=1.50.5=3

So, the value p of is.0027 .

As the value is less than the significance level, so the null hypothesis is rejected.

06

(f) Find confidence interval.

The 90% confidence interval for the difference in means

=x1-x2z/2s12n1+s22n2=26.6-15.51.969100+16100=11.11.960.5=11.10.98

Therefore, the confidence interval for the difference of means is 10.12 to 12.08.

07

(g) State the conclusion.

The confidence interval tells us the specific limit within which the difference between the population means is expected to lie with 95% confidence, whereas the hypothesis testing presents the situation where we can tell that 1-210without specifying any value of the difference between the population means.

Therefore, the confidence interval provides more information 1-2.

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208

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6240

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820

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19050

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2390

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4390

1200

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60000

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2785

990

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29700

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2989

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