Case 1

A cosmetics company fills its best-selling 8-ounce jars of facial cream by an automatic dispensing machine.
The machine is set to dispense a mean of 8.1 ounces per jar. Uncontrollable factors in the process can
shift the mean away from 8.1 and cause either underfill or overfill, both of which are undesirable. In such
a case the dispensing machine is stopped and recalibrated. Regardless of the mean amount dispensed,
the standard deviation of the amount dispensed always has value 0.22 ounce. A quality control engineer
routinely selects 30 jars from the assembly line to check the amounts filled. On one occasion, the sample
mean is x=8.2 ounces and the sample standard deviation is s = 0.25 ounce. Determine if there is sufficient
evidence in the sample to indicate, at the 1% level of significance, that the machine should be recalibrated.

Case 2
A soft drink maker claims that a majority of adults prefer its leading beverage over that of its main
competitor’s. To test this claim 500 randomly selected people were given the two beverages in random
order to taste. Among them, 270 preferred the soft drink maker’s brand, 211 preferred the competitor’s
brand, and 19 could not make up their minds. Determine whether there is sufficient evidence, at the 5%
level of significance, to support the soft drink maker’s claim against the default that the population is
evenly split in its preference.

Case 3
To compare customer satisfaction levels of two competing cable television companies, 174 customers of
Company 1 and 355 customers of Company 2 were randomly selected and were asked to rate their cable
companies on a five-point scale, with 1 being least satisfied and 5 most satisfied. The survey results are
summarized in the following table:

Construct a point estimate and a 99% confidence interval for μ1−μ2, the difference in average satisfaction
levels of customers of the two companies as measured on this five-point scale.

Case 4
A study was conducted to investigate the effectiveness of hypnotism in reducing pain. Results for
randomly selected subjects are shown in [link]. A lower score indicates less pain. The “before” value is
matched to an “after” value and the differences are calculated. The differences have a normal distribution.
Are the sensory measurements, on average, lower after hypnotism? Test at a 5% significance level.
Case 5

Case 6

Case 7

Case 8
A researcher wishes to investigate whether students’ scores on a college entrance examination (CEE) have
any indicative power for future college performance as measured by GPA. In other words, he wishes to
investigate whether the factors CEE and GPA are independent or not. He randomly selects n = 100
students in a college and notes each student’s score on the entrance examination and his grade point
average at the end of the sophomore year. He divides entrance exam scores into two levels and grade
point averages into three levels. Sorting the data according to these divisions, he forms the contingency
table shown as Table 11.6 "CEE versus GPA Contingency Table", in which the row and column totals have
already been computed.