PROBLEM: An automobile manf substitutes a different engine in cars…..........................................

SOLUTION The target population here is miles per gallon rating measures for all the engine manufactures(NEW ENGINE)

RESEARCH HYPOTHESIS ON NEW ENGINE:

Average miles per gallon rating on th ehihway for cars using the new engine is greater or better than old engine

STATASTICAL HYPOTHESIS

NULL HYPOTHESIS Ho:Mu<=31.5 Mu-NEW ENGINE, 31.5-OLD ENGINE

ALTERNATIVE HYP H1:mu>31.5

Level of significanc 5%

1-alpha=0.95
alpha=0.05
TYPE1 ERROR p(RejH0/Not rej H0)=alpha
p(mu>31.5/mu<=31.5)

SAMPLE
n=100
s=6.6
s/rootn 0.66
d.f=n-1 99
under H0 mean=31.5
t0=xbar-mu0/s/rootn similar
-2.5757575758

CRITERION
Type of test ALTERNATIVE MU>31.5
p=P(t>t0)=P(T>-2.5757)
1-P(t<-2.5757)

t0 -2.5757
p-value 1-P(t<-205757)
P(t<-2.5757) 0.0057407549 using T-DIST
1-P(t<-2.5757) 0.9942592451
n cars….................................................................................rating for cars using the old engine?

ll the engine manufactures(NEW ENGINE)

w engine is greater or better than old engine.

1.5-OLD ENGINE

TYPE 2 ERROR p(Do not RejHo rej Ho)=beta

1-beta=p(Rej Ho/Rej H0) POWER OF THE TEST PROCEDURE

Tn-1dt
AFTER DIAGRAM CONC

SINCE,p>alpha ,we donot reject H0

THAT IS THE SAMPLE FAILED TO PROVIDE AN EVIDENCE AGAINST H0
RIGHT TAILED
NCR-0.95% MANF SHOULD IMPROVE THE PROCESS
CR-5%
e old engine?
PROBLEM A CERTAIN COMMODITY IS KNOWN TO HAVE A PRICE THAT IS STABLE…......................................CAN REJEC

Sample population is price of the commodity

mean 16.5
sd 4.2
s.error 1.05
U0 14.25

t0 2.142857
p-value 0.024466
rej the hyp
null hyp
..................................CAN REJECT THE NULL HYP?