BS Assignment 2

Roll Number: M065-20

Name: Tushar Kamble
Q15) As, σ given, z−test ,

a)
H 0 :μ ≥ 105 6
H 1 : μ< 1056
It is a single tailed hypothesis testing.

b) n=400 ; σ =1600 ; x́=910

x́−μ
z stat = =−1.825
σ
√n
p-value for ( z stat =−1.75 ¿=P (z ≤−1.75)=0.0401

c) For α =0.5
As p-value < 0.05
So, we reject H 0 hypothesis.

d) The critical value is

For α =0.05 ; z α =−1.64

l ower critical value=−1.6 4

z stat < z α
So, we reject the null Hypothesis

Q16) As, σ given, z−test ,

a)
H 0 :μ ≤ 317 3
H 1 : μ> 317 3
It is a single tailed hypothesis testing.

b) n=180 ; σ=1000 ; x́=3325

x́−μ
z stat = =2.0 4
σ
√n
p-value for ( z stat =2.04 ¿=P ( z >2.04 )=1−0.9793=0.0207

c) For α =0.5
As p-value < 0.05
So, we reject H 0 hypothesis
Q17) As, σ given, z−test ,
a)
H 0 :μ=24.5 7
H 1 : μ ≠ 24.5 7
It is a two tailed hypothesis testing.

b) n=300 ; σ=2.40 ; x́=23.89

x́−μ
z stat = =−1.5 5
σ
√n
p-value for ( z stat =−1.55 ¿=P (z>1.55)+ P(z ≤−1.55)
¿ 2 X ( 0.606 )=0.1212

c) For α =0.05
As p-value > 0.05
So, we do not reject H 0 hypothesis.

d) The critical value is

α
For =0.025−z α =−1.96
2 2

l ower critical value=−1.9 6

upper critical value=1.9 6
z stat > z α
So, we do not reject the null Hypothesis

Q18) As, σ given, z−test ,

a)
H 0 :μ=19 2
H 1 : μ ≠ 19 2
It is a two tailed hypothesis testing.

b) n=150 ; σ=55 ; x́=182

x́−μ
z stat = =−2.2 3
σ
√n
p-value for ( z stat =−2.23 ¿=P( z> 2.23)+ P(z ≤−2.23)
¿ 2 X ( 0.0129 )=0.0258

c) For α =0.05
As p-value < 0.05
So, we reject H 0 hypothesis.
 d) The critical value is
α
For =0.025−z α =−1.96
2 2
lower critical value=−1.9 6
upper critical value=1.9 6
z stat < z α
So, we reject the null Hypothesis.

Q19). H0: µ >=12

H1: µ < 12
X−μ 10−12
ZSTAT = σ = 8 = -1.75
√n √ 50
c) P(Z<-1.75) = 0.04006
P(Z> 1.75) = 0.04006
P-value= 0.04006+0.04006=0.08012
Since p-value = 0.08012> α = 0.05, we do not reject the null hypothesis H0.

Q20). H0:µ ≥838

H1:µ <838
X−μ 745−838
ZSTAT = σ = 300 = -2.40
√n √ 60
P-value= .00820
Since p-value = 0.0082< α = 0.01, we reject the null hypothesis H0.

Qn22). H0:µ =8
H1:µ ≠ 8
X−μ 8−8.4
ZSTAT = σ = 3.2 = -1.37
√ n √ 120
P-Value= 0.08534+ 0.08534= 0.1706
Since p-value = 0.1706> α = 0.01, we do not reject the null hypothesis H0.
s
Confidence interval ⃛x ± = 7.86 to 8.97. Yes
√n

Q27)Given, Population mean, μ = $13.04

Sample mean, x⃛ = $12.75

Standard deviation, S = $2
Sample size, n = 100

Step 1: H 0: μ ≥ $13.04
 H 1: μ ¿ $13.04
This is a lower tailed hypothesis testing.

Step 2: Level of significance, α = 0.05

⃛x −μ 12.75−13.04
Step 3: t stat = S = 2 = -1.45
√n √100
Step 4: Degree of freedom = n -1 = 99
α = 0.05
t α = 1.660

-t α = -1.660

Now,
t stat = -1.45

-t α = -1.660

Since, -1.45 > -1.66

Therefore, We do not reject H 0

Qn 28) Given, Population mean, μ = 9 years

Sample mean, x⃛ = 7.27 years
Standard deviation, S = 6.38
Sample size, n = 85

Step 1: H 0: μ ≥ 9

H 1: μ ¿ 9
This is a lower tailed hypothesis testing.

Step 2: Level of significance, α = 0.01

⃛x −μ 7.27−9
Step 3: t stat = S = 6.38 = -2.499
√n √ 85
Step 4: Degree of freedom = n -1 = 84
α = 0.01
t α = 2.372

-t α = -2.372
 Now,
t stat = -2.499

-t α = -2.372

Since, -2.499 < -2.372

Therefore, We reject H 0. Mean tenure of a CEO is less than 9 years.

Qn 31) Given, Population mean, μ = 423

Sample mean, ⃛x = 460.4

Standard deviation, S = 101.9
Sample size, n = 36

Step 1: H 0: μ ≤ 423

H 1: μ ¿ 423
This is a upper tailed hypothesis testing.
Step 2: Level of significance, α = 0.05

⃛x −μ 460.4−423
Step 3: t stat = S = 101.9 = 2.202
√n √ 36
Step 4: Degree of freedom = n -1 = 35

α = 0.05
t α = 1.690

-t α = -1.690

Now,

t stat = 2.202

t α = 1.690
Since, 1.690 < 2.202

Therefore, We reject H 0. Consumption of Coca-Cola is higher.

Qn 33) Given, Population mean, μ = $1503

 Sample mean, ⃛x = 1440
Standard deviation, S = $165
Sample size, n = 25

Step 1: H 0: μ ≥ 1503

H 1: μ ¿ 1503
This is lower tailed hypothesis testing.

Step 2: Level of significance, α = 0.05

⃛x −μ 1440−1503
Step 3: t stat = S = 165 = -1.909
√n √ 25
Step 4: Degree of freedom = n -1 = 24
α = 0.05
t α = 1.711

-t α = -1.711

Now,
t stat = -1.909

t α = -1.711
Since, -1.909 < -1.711

Therefore, We reject H 0. Mean annual premium in Pennsylvania is lower than 1503.

Qn 34) .
a. Hypothesis: H0 : µ = 2
H1 : µ ≠ 2
1.4+1.5+1.7+ …+3
b. Sample mean ¿ = 2.2
10
n
( Xi− Xn)2 2
c. Sample standard deviation =
√
2
∑ n−1 = √ 0.26656 = 0.516
n=1

x́−μ 2.2−2
d. Tstat = s = 0.516 = 1.22
√n √2 10
Degree of freedom = n-1 = 9
α = 0.05
So, t0.05 = ± 1.833
As, Tstat < Tcritical ; we don’t reject H0, meaning there is no point in changing the time from 2 hours as it
doesn’t differ.

Qn 37).

a. Hypothesis : H0 : p = 0.113
H1 : p ≠ 0.113

b. The given values are: n = 400; x = 52

x
As we know, ṕ=
n
52
 ṕ= =0.13
400

Ṕ – P 0.13−0.113
= =¿ 0.017
So, Ztest = P ( 1−P ) 2 0.113 ( 1−0.113 ) =1.074
√
2

n √ 400
2
√ 0.0002505
Now, P-value => P (Z>1.074) = 1 – P (Z < - 1.074) = 0.14231

c. As, α = 0.05; P-value < α ; So we reject H 0 , meaning there was increase in union membership in
2014.

Qn 38).

a. Hypothesis: H0 : p = 0.64
H1 : p ≠ 0.64

b. The given values are : n = 100 ; x = 52

x
as we know , ṕ=
n
52
 ṕ= =0.52
100

Ṕ – P 0.52−0.64 0.12
= =¿ =−2.5
So, Ztest = P ( 1−P ) 0.64 ( 1−0.64 ) 0.64∗0.36
√
2

n √
2

100 √
2

100

Now, P-value => P(Z < -2.5) + P(Z > 2.5) = 0.0062 + 0.0062 = 0.0124

c. As, α = 0.05 ; P-value < α ; So we reject H0

d. Yes, they’ll be happy as less number of people believed supermarket brand is as good as name
brand.

Qn. 40
Ans: Holiday gift to their employees last year p = 0.46
Number of business owner’s n = 60
a. We know P = x/n
Thus we get x= p*n = 0.35*60= 21

b. H 0 : P ≥ 0.46
H 1: P ¿ 0.46

ṕ−p 0 0.35−0.46
Z=
p 0 ( 1− p0 ) = 0.46 ( 1−0.46 ) = -1.71
√ n √ 60

P value = 0.4363
c. P value < α ; 0.04363<0.05 thus we reject H 0

Yes, we can conclude that proportion if gifts received has decreased.

Smallest level of significance to hold this conclusion true is 0.05 if we decrease the α conclusion
will change.

Qn.41
Ans: Ten years ago p = 0.53

ṕ = 0.46
a. H 0 :P ≥ 0.53
H 1 : p< 0.53
b. n=300
ṕ−p 0 0.46−0.53
Z=
c. p 0 ( 1− p0 ) = 0.53 ( 1−0.53 ) = -2.43
√ n √ 300
P= 0.0075
d. At α =0.01

Since Pvalue < α ; 0.0075<0.01

Thus we reject H 0

And conclude that a smaller proportion of American families hold stocks.

Qn.42
Ans: p0 = 0.06

x = 0.12 , n=80 ;
a. ṕ = x/n = 12/80 = 0.15
b. Boundaries of confidence interval

= ṕ ± z α √ p (1−´ ṕ)/ n
2

=0.15±0.0399*1.96

=0.15±0.078

=0.072 to 0.228

c. H 0 :P=0.06
H 1 : p ≠ 0.06
Two tailed test
ṕ− p0 0.15−0.06
z= = = 3.396
√ p ( 1−p ) /n
0 0 √ 0.06 ( 1−0.06 ) /80
Z stat =3.396
P value = p( z ≤ 3.396)+p(z¿ 3.396)
= 2p(z≤ 3.396)

α =0.05
z α / 2= 1.96
−z α / 2= -1.96
z stat =−3.396
z stat lies in rejection area thus we will reject the null hypothesis

Qn.45
Ans:

a. H 0 : P ¿ 0.39
H 1: P ≠ 0.39

ṕ−p 0 0.385−0.39
Z=
p 0 ( 1− p0 ) = 0.39 ( 1−0.39 ) = -2
√ n √ 300

P value = 0.0455
P value < α ; 0.0455<0.05 thus we reject H 0
We have evidence that current sample differs from the long term average
b. H 0 : P ≤ 0.30
H 1: P ¿ 0.30
 ṕ−p 0 0.399−0.30
Z=
p 0 ( 1− p0 ) = 0.30 ( 1−0.30 ) = 3.74
√ n √ 300

z stat lies in rejection region

We reject the null hypothesis alternative hypothesis accepted
c. There is enough evidence to support the claim that bearish sentiment is above its long term
average of 0.30
Chapter 10
Q12

x ̅ 1=mean of Buffalo residents = 22.5

x ̅ 2=mean of Boston residents=18.6

ś1=8.4 ś 2=7.4 n1 =50 n2=40

Point estimate = x́ 1−x́ 2=22.5−18.6=3.9

s21 s22
+
n1 n2
df = 2 2
=87.1
1 s 21 1 s22
( )
n1−1 n1
+
n2−1 n2 ( )
df =87 , t 0.025=1.988

C.I. with 95% ¿ 3.9 ±3.3

Q13

x ̅ 1=mean of private colleges = 42.5

x ̅ 2=mean of public colleges=22.3

ś1=6.98 ś2 =4.53 n1=10 n 2=12

Point estimate = x́ 1−x́ 2=20.2

t-Test: Two-Sample Assuming Unequal Variances

Private Public
  Colleges Colleges
Mean 42.5 22.3
Variance 48.7288889 20.5418182
Observations 10 12
Hypothesized Mean Difference 0
df 15
t Stat 7.87196473
P(T<=t) one-tail 5.2489E-07
t Critical one-tail 1.75305036
P(T<=t) two-tail 1.0498E-06
t Critical two-tail 2.13144955  
C.I. with 95% ¿ 20.2 ±5.47

Q14
H 0 :μ 1−μ2 ≥0

H 1 : μ 1−μ2 <0

x ̅ 1=mean of Tampa= 56100

x ̅ 2=mean of Dallas=59400

ś1=6000 ś2=7000n 1=40 n2 =50

Point estimate = x́ 1−x́ 2=−3300

s21 s22
+
n1 n2
df = 2 2
=87.55
1 s 21 1 s22
( )
n1−1 n1
+
n2−1 n2 ( )
df =87 , t 0.05 =−1.663

t stat =−2.41
c)

d) As t stat <t 0.05 ,We reject H 0

Q15
H 0 :μ 1−μ2 ≥0

H 1 : μ 1−μ2 <0

x ̅ 1=mean of Hong Kong= 1114

x ̅ 2=mean of Paris=989

ś1=230 ś2=195 n 1=30 n2=40

Point estimate = x́ 1−x́ 2=125

 s21 s22
+
n1 n2
df = 2 2
=56.48
1 s 21 1 s22
n1−1 n1 ( )
+
n2−1 n2 ( )
df =56 , t 0.01=2.395

t stat =2.40

b) As t stat >t 0.05 ,We reject H 0

Qn 16)-
Population 1 = Students whose parents are College grads.
Population 2 = Students whose parents are High school grads.
μ1 = Mean SAT maths score belonging to population 1

μ2 = Mean SAT maths score belonging to population 2

Step 1: Support the following higher population mean math score on the SAT if their parents
attained a higher level of education.
μ1 ≤ μ2
μ1−μ 2 ¿ 0
H 0 : μ1−μ 2 ≤ 0
H 1 : μ1−μ 2 ¿ 0
One tail : Upper tail

Step 2: α = 0.05

College Grad High School Grad

485 442
534 580
650 479
554 486
550 528
572 524
497 492
592 478
487 425
533 485
526 390
410 535
515
578
448
469
T Test: Two-Sample Assuming Unequal Variances
College Grads High School Grads
Mean 525 487
Variance 3530.8 2677.818182
Observations 16 12
Hypothesized Mean Difference 0
df 25
t Stat 1.803752618
P(T<=t) one-tail 0.041667372
t Critical one-tail 1.708140693
P(T<=t) two-tail 0.083334744
t Critical two-tail 2.059538536

The difference between the means for the two populations = μ1−μ 2 = 525 – 487 = 38

P-value = 0.042

Step 3: t stat = 1.804

Step 4: Critical value = t α = 1.708

Step 5: Comparing t stat and t critical

Since t critical < t stat

i.e., 1.708 < 1.804

So We reject H 0

Q17)
H 0 :μ 1−μ2 ≥0

H 1 : μ 1−μ2 <0
x ̅ 1=mean of Consultant A=6.82

x ̅ 2=mean of Consultant B=6.25

ś1=0.64 ś 2=0.75 n1=16 n2=10

Point estimate = x́ 1−x́ 2=0.57

s21 s22
+
n1 n2
df = 2 2
=16.95
1 s 21 1 s22
( )
n1−1 n1
+
n2−1 n2 ( )
df =16 , t 0.05=1.746

b) t stat =1.99

c)

d) As t stat >t 0.05 ,We reject H 0

Qn 18)-
Population 1 = Air Tran Airways.
Population 2 = Southwest Airways.
Measure – Delayed time

μ1 = Mean of delayed time by AirTran flight

μ2 = Mean of delayed time by Southwest flight

Step 1: Formulate the hypothesis that can be used to test for a difference between the population
mean minutes late for delayed flights by these two airlines.

H 0 : μ1−μ 2 ¿ 0
H 1 : μ1−μ 2 ≠ 0
Two tailed test
Step 2: α = 0.05

α /2 = 0.025
AirTran Southwest
34 45
59 64
43 42
30 33
3 66
32 105
42 45
85 28
30 38
48 85
110 75
50 45
10 33
26 50
70 63
52 42
83 35
78 33
27 64
70 65
27
90
38
52
76

T Test: Two-Sample Assuming Unequal Variances Column1 Column2

AirTran Southwest
Mean 50.6 52.8
Variance 705.75 404.3789474
Observations 25 20
Hypothesized Mean Difference 0
df 42
t Stat -0.316067985
P(T<=t) one-tail 0.376758176
t Critical one-tail 1.681952301
P(T<=t) two-tail 0.753516352
t Critical two-tail 2.018081679

Step 3: t stat = -0.316

Step 4: Critical value = - t α / 2 = -2.018 t α / 2 = 2.018

μ1 = 50.6

μ2 = 52.8
p- value = 0.754

Step 5: Comparing t stat and t critical

Since t stat lies between (-t α / 2 , t α / 2)

i.e., -0.316 lies between (- 2.018, 2.018)

So We do not reject H 0
Qn 21)
σ unknown. t-table
μ1=¿ Mean of rating before advt.

μ2=¿ Mean of rating after advt.

μd =μ1−μ 2

H o : μd ≥ 0

H 1 : μ d <0
= This is lower tail test
= Level of significance α =0.05

t-Test: Paired Two Sample for Means    

     
  Before After
Mean 5.375 6
Variance 2.553571429 3.428571429
Observations 8 8
Pearson Correlation 0.724206824  
Hypothesized Mean Difference 0  
df 7  
t Stat -1.35724179  
P(T<=t) one-tail 0.108418773  
t Critical one-tail 1.894578605  
P(T<=t) two-tail 0.216837546  
t Critical two-tail 2.364624252  

t stat -1.36
−t α
-1.89
p-value 0.108
α
0.05

p-value > α , so we do not reject H 0.

We don’t have enough evidence to prove that after advt. mean has increased.
6−5.375
Average rating after advt. increased by ∗100=12 %
5.375
Qn 23)

A.) σ unknown. t-table

μ1=¿ Mean for groceries

μ2=¿ Mean for dining out

μd =μ1−μ 2

H o : μd =0

H 1: μd ≠ 0
= This is a double tail test
α
= Level of significance α =0.05 ; =0.025
2

sd =112 3
n = 42

d =85 0
d−μd 850−0
t stat = =4.90
s d = 1123
√n √ 42
B.) p-value = P (-t stat ¿+P(t stat ) = 0.1 + 0.1 = 0.2

df = 42 – 1 = 41
t α =t 0.025=2.020
2

t stat > t α , so we reject H : μ =0.

o d
2

Hence, we have enough evidence to prove that mean expense of groceries and dining out are not
same.

C.)
Qn24)

σ unknown. t-table
μ1=¿ Mean of current year airfare

μ2=¿ Mean of previous year airfare

μd =μ1−μ 2

H o : μd ≥ 0

H 1 : μ d <0
= This is left tail test

= Level of significance α =0.05

A.)

t-Test: Paired Two Sample for Means    

     
  Current Year Previous Year
Mean 487 464
Variance 23238 18508.54545
Observations 12 12
Pearson Correlation 0.970188659  
Hypothesized Mean Difference 0  
df 11  
t Stat 2.053576389  
P(T<=t) one-tail 0.032288261  
t Critical one-tail 1.795884819  
P(T<=t) two-tail 0.064576523  
t Critical two-tail 2.20098516  

t stat
2.053576
tα
1.795885
p-value 0.03
α
0.05

p-value < α , so we reject H 0

We have enough evidence to say that mean of previous year airfare is greater than current year
airfare.
B.)

μ1=¿ 487
μ2=¿ 464

487−464
C.) Percentage change in one-year air fare = ∗100=4.96 %
464

Qn.25

Student Math Writing

1 540 474
2 432 380
3 528 463
4 574 612
5 448 420
6 502 526
7 480 430
8 499 459
9 610 615
10 572 541
11 390 335
12 593 613

t-Test: Paired Two Sample for Means

  Math Writing
Mean 514 489
Variance 4661.272727 8735.818182
Observations 12 12
Pearson Correlation 0.942167362  
Hypothesized Mean Difference 0  
df 11  
t Stat 2.337429391  
P(T<=t) one-tail 0.019675138  
t Critical one-tail 1.795884819  
P(T<=t) two-tail 0.039350276  
t Critical two-tail 2.20098516  

μ1= score in maths

μ2= score in writing

H 0 :μ 1−μ2=0

H 1 : μ 1−μ2 ≠ 0
Two tailed test

α =0.05
T stat =¿2.33

D F=11, T α / 2=0.025 ; Critical value = 2.201

Critical value < T stat

Reject the null hypothesis

Qn.26

Player First Round Final Round

Michael Letzig 70 72
Scott Verplank 71 72
D. A. Points 70 75
Jerry Kelly 72 71
Soren Hansen 70 69
D. J. Trahan 67 67
Bubba Watson 71 67
Reteif Goosen 68 75
Jeff Klauk 67 73
Kenny Perry 70 69
Aron Price 72 72
Charles Howell 72 70
Jason Dufner 70 73
Mike Weir 70 77
Carl Pettersson 68 70
Bo Van Pelt 68 65
Ernie Els 71 70
Cameron Beckman 70 68
Nick Watney 69 68
Tommy Armour III 67 71

t-Test: Paired Two Sample for Means    

     
  First Round Final Round
Mean 69.65 70.7
Variance 2.765789474 9.168421053
Observations 20 20
Pearson Correlation 0.093020693  
Hypothesized Mean Difference 0  
df 19  
t Stat -1.4159891  
 P(T<=t) one-tail 0.086481918  
t Critical one-tail 1.729132812  
P(T<=t) two-tail 0.172963836  
t Critical two-tail 2.093024054  

μ1= score in first round

μ2= score in final round

H 0 :μ 1−μ2=0

H 1 : μ 1−μ2 ≠ 0
Two tailed test

α =0.1
T stat =¿-1.415

D F=19 , T α / 2=0.05 ; Critical value = -1.729

Using t table p value is between 0.1 and 0.2
Do not Reject the null hypothesis
Qn.27

  Model Price($)
Retail Outlet Deluxe Standard
1 39 27
2 39 28
3 45 35
4 38 30
5 40 30
6 39 34
7 35 29

t-Test: Paired Two Sample for Means    

     
  Deluxe Standard
Mean 39.28571429 30.42857143
Variance 8.904761905 8.952380952
Observations 7 7
Pearson Correlation 0.618668866  
Hypothesized Mean Difference 10  
df 6  
t Stat -1.15873092  
P(T<=t) one-tail 0.145297861  
t Critical one-tail 1.943180281  
 P(T<=t) two-tail 0.290595723  
t Critical two-tail 2.446911851  

μ1= score in first round

μ2= score in final round

H 0 :μ 1−μ2=10

H 1 : μ 1−μ2 ≠ 10
Two tailed test

α =0.05
T stat =¿-1.15

D F=6 , α /2=0.025 ; Critical value = -2.447

Using t table p value is between 0.1 and 0.2
Do not Reject the null hypothesis

Additional problem:

Averages cigarrette per day

Addict First 30 Second 30
days days
1 10 7
2 15 14
3 10 10
4 12 9
5 12 12
6 15 15
7 12 12
8 11 10
9 11 12
10 14 15
11 13 10
12 13 11
13 14 12
14 10 10
15 12 11
16 11 12
17 14 15
18 11 10
19 14 15
20 10 7
 Second 30
  First 30 days days
Mean 12.2 11.45
2.90526315
Variance 8 6.05
Observations 20 20
0.80595538
Pearson Correlation 5  
Hypothesized Mean Difference 0  
df 19  
2.26268877
t Stat 2  
0.01778151
P(T<=t) one-tail 4  
1.72913281
t Critical one-tail 2  
0.03556302
P(T<=t) two-tail 7  
2.09302405
t Critical two-tail 4  

Scenario 1:

μ1= no of avg cigarette per day first 30 days

μ2= no of avg cigarette per day last 30 days

H 0 :μ 1−μ2 ≤0

H 1 : μ 1−μ2 >0
One tailed test

α =0.05
T stat =¿2.2626

D F=19 , α /2=0.025 ; Critical value = 2.093

P value is < than α

Thus we reject H 0

We conclude that the nicotine patch reduces the average cigarettes consumption per day at a 0.05
confidence level

Scenario 2:

μ1=sample of first 30 days

μ2=sample of second 30 days

H 0 :μ 1−μ2 ≤0

H 1 : μ 1−μ2 >0

This is one tail test

t-Test: Two-Sample Assuming Unequal Variances

Second 30
  First 30 days days
Mean 12.2 11.45
2.90526315
Variance 8 6.05
Observations 20 20
Hypothesized Mean Difference 0
df 34
1.12082313
t Stat 1
P(T<=t) one-tail 0.13510883
1.69092425
t Critical one-tail 5
P(T<=t) two-tail 0.27021766
2.03224450
t Critical two-tail 9  
α =0.05
t stat =¿1.12

dof =34; Critical value = 1.69

So, we do not reject the null hypothesis.

Researchers should convey that nicotine patch do not reduce average cigarettes consumption per
day.

Scenario 3:

t-Test: Paired Two Sample for Means    

     
Second 30
  First 30 days days
Mean 12.2 11.45
Variance 2.905263158 6.05
Observations 20 20
 Pearson Correlation 0.805955385  
Hypothesized Mean Difference 0  
df 19  
t Stat 2.262688772  
P(T<=t) one-tail 0.017781514  
t Critical one-tail 2.204701351  
P(T<=t) two-tail 0.035563027  
t Critical two-tail 2.539483191  
μ1= no of avg cigarette per day first 30 days

μ2= no of avg cigarette per day last 30 days

H 0 :μ 1−μ2 ≤0

H 1 : μ 1−μ2 >0
One tailed test

α =0.02
T stat =¿2.2626

D F=19 , α /2=0.025 ; Critical value = 2.204

P value is > than α

Thus we reject do not reject H 0

And change our conclusion to

The nicotine patch does not reduce the average cigarettes consumption per day at 0.02 confidence
level