Describe how You could use hypothesis testing to help make a decision in your cu

Question

Describe how You could use hypothesis testing to help make a decision in your current job, a past job, or a life situation. Include a description of the decision, what would be the null and alternative hypothesis, and how data could be ideally collected to test the hypothesis. Describe how You could use hypothesis testing to help make a decision in your current job, a past job, or a life situation. Include a description of the decision, what would be the null and alternative hypothesis, and how data could be ideally collected to test the hypothesis.

Explanation / Answer

Answer:

Suppose, we use one of the daily use product and we know that the company claims that the weight of the product is 100 gram. We are interested to check the claim or hypothesis whether the average weight of the product is 100 gram or not. For checking this claim, we will collect the weights for the products. We will take at least 10 products and then we will weigh these products by using more accurate electric weight machine. The null and alternative hypothesis for this test would be given as below:

Null hypothesis: H0: The average weight of the product is 100 gram.

Alternative hypothesis: Ha: The average weight of the product is not 100 gram.

H0: µ=100 versus Ha: µ 100

We will consider two tailed test.

Here, we will use one sample t test for the population mean. We will use t test instead of z test because we do not have the information for the population standard deviation or process variation. So, by using collected sample data, we will find out sample standard deviation S, sample mean Xbar, sample size n, degrees of freedom, etc. We will consider 5% level of significance for this test. We will use the following formula for the calculation of t test statistic.

Test statistic = t = (Xbar - µ) / [ S/sqrt(n) ]

By using this formula, we will find out test statistic value. For this test statistic value, we will find out p-value by using the t-table. If the pl-value is less than the 5% level of significance, then we will reject the null hypothesis and if p-value is greater than the 5% level of significance, then we will not reject the null hypothesis.

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