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The American Society for Quality (ASQ) conducted a salary survey of all its memb

ID: 3294733 • Letter: T

Question

The American Society for Quality (ASQ) conducted a salary survey of all its members. ASQ members work in all areas of manufacturing and service-related institutions, with a common theme of an interest in quality. Two job titles are master black belt and green belt. (See Section 14.6, for a description of these titles in a Six Sigma quality improvement initiative.) Descriptive statistics concerning salaries for these two job titles are given in the following table:

Job Title

Sample Size

Mean

Standard Deviation

Master Black Belt

141

88,945

21,791

Green Belt

26

64,794

25,911

Using a 0.05 level of significance is there a difference in the variability of salaries between black and green belts?

Based on the result of the first question which T test defined appropriate for comparing salaries?

Using a 0.05 level of significance is the mean salary of black belts greater than the mean salary of green belts?

Job Title

Sample Size

Mean

Standard Deviation

Master Black Belt

141

88,945

21,791

Green Belt

26

64,794

25,911

Explanation / Answer

Two-Sample T-Test and CI

Method

Equal variances are not assumed for this analysis.

Descriptive Statistics

Estimation for Difference

Test

here p-value = 0.000 < 0.05

hence we reject the null and conclude that   there is a significant difference in the variability of salaries between black and green belts

b)

Two-Sample T-Test and CI

Method

Equal variances are not assumed for this analysis.

Descriptive Statistics

Estimation for Difference

Test

since p-value for rigth-tailed test is 0.000 < 0.05

there is significant evidence that   the mean salary of black belts greater than the mean salary of green belts

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: mean of Sample 1 µ: mean of Sample 2 Difference: - µ