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Chapter 14: Hypothesis Tests – Small Samples

Figure 14-7

: Display of the Small Sample Test for a Single

Population Mean workbook output for

Example14-3

Example 14 -4

: A local union would like to establish that the average

annual salary for similar workers who they represent in a particular state is

less than $45,500. A random sample of 26 similar workers, not represented

by the union in the state, produced a mean salary of $43,800 with a standard

deviation of $3,275. Use the

P

-value approach to test the union’s claim at

the 1% level of significance.

Summary Information

:

= 26,

= 3,275,

= 0.01,

̅

(sample mean) =

43,800, and

= 45,500.

Since the union would like to establish that the average salary is less than

$45,500, this will be a left-tailed test.

Also, since we are asked to use the

P

-value approach, then we will use the

workbook to help with the computation of the

P

-value. The

Small Sample

Test for a Single PopulationMean

workbook output is shown in

Figure

14-8

.

Click here for the Small Sample Test for a Single Population Mean Workbook