Advanced Hypothesis Testing
This report is a continuation from the previous week statistical report and entails more detailed information concerning the mean costs of the average rent price for office spaces in and around the Sacramento area. A business plan is being designed to include financial coverage and location. This report¡¦s primary focus is to base the cost of office space strictly upon price, to ascertain the startup and ongoing costs of the short-term business plan. However, certainly we will consider other issues with the overall plan once the median is found. Other issues to be considered aside from costs are location, convenience, fixtures, insurance prices, and customer accommodations. Surrounding areas of Sacramento will allow access to more build sites, but the downside is possible poor location for city dwellers. Last week in Adam¡¦s quest of moving his home based business into an office setting, he compared the mean price from the local on-line real estate listings to the price information from his sample of 20 office rooms. Through a t-test statistical analysis, Adam could not conclude that the mean price for the office space in Sacramento is more than $680. However, before Adam makes the final decision, he decides to do a little more investigation based upon a sampling of 20 prices of offices in outlying areas of Sacramento. This week Adam will formulate a hypothesis statement and perform the five-step hypothesis test on the data he collected. After completing his analysis of the 22 prices from outlying areas, and 20 office prices of Sacramento, he will be able to find out if the office prices in surrounding area of Sacramento area is cheaper then the prices of Sacramento.

Prices from Sacramento
600760890580950440876998555765
985725490875495560580775890755

Prices from surrounding area of Sacramento
960650690580850540775898500465450
785780490775495660580775890900560

... Are the following assets? If so, whose assets, and why?
(a) Members of the Australian hockey team
(b) A 9-month lease agreement to rent a business office
(c) Expenditure on research and development
(d) An unsigned, documented contractual agreement to build specialised equipment for a client
(e) A building bequeathed to a firm
(f) A 5-year option to acquire property, where the option was purchased by the company a year ago
(a) Human resources arguably meet the definition of assets of the Australian government, or the Australian Institute of Sport (depending upon whether it is accepted that they can be controlled to act in the interests of the reporting entity). However, even if they are regarded as meeting the definition, because of the difficulty of placing a value on them they are not recognised. (A question to debate in class is: If the team is on a losing streak, are the players still assets? As long as they generate future economic benefits, they remain assets whose measurement and probability may not warrant capitalisation as assets.)
(b) Operating lease. For the lessee (tenant), the future benefits that he or she has control over are the benefits under a contract specifying the rights to benefits, e.g. the right to use a motor vehicle for a month. According to AASB 117, there is no intent by the lessor to transfer substantially all ownership benefits and risks to the lessee. Nonetheless, once a contract is in place there is a right to control the inflow...

...APP6JMaloney problems 2. 4, 6, 10, 18, 22, 24
2 ) The value of the z score un a hypothesis test is influenced by a variety of factors.
Assuming that all the other variables are held constant, explain how the value
of Z is influenced by each of the following?
Z= M - u / SD
a) Increasing the difference between the sample mean and the original.
The z score represents the distance of each X or score from the mean.
If the distance between the sample mean and the population mean the z score will
increase.
b) Increasing the population standard deviation.
The standard deviation is the factor that is used to divide by in the equation. the bigger the SD,
then the smaller the z score.
c) Increasing the number of scores in the sample.
Should bring the samples mean closer to the population mean so z score will get smaller.
4) If the alpha level is changed from .05 to .01
a) what happens to the boundaries for the critical region?
It reduces the power of the test to prove the hypothesis.
You increase the chance of rejecting a true H
b) what happens to the probability of a type 1 error?
Type 1 error is falsely reporting a hypothesis,
Where you increase the chance that you will reject a true null hypothesis.
6) A researcher is investigating the effectiveness of a new study skills training program for elementary
school childreen. A sample of n=25 third grade children is selected to...

...all, the video did a fair job buttressing my understanding of hypothesistesting. The textbook explained the aspects and steps of hypothesistesting in a legible fashion, while the video helped demonstrate a real-life application.
I learned from the text that hypothesistesting is a “Procedure for deciding whether the outcome of a study (results from a sample) supports a particular theory or practical innovation (which is thought to apply to a population)” (Aron A., Aron, E., and Coups, 2011, p. 145). I also learned that hypothesistesting follows a set procedure that appears as follows:
Step 1) Restate the question as a research hypothesis and a null hypothesis about the populations
- Basically, a researcher constructs a hypothesis. Then he/she forms a null hypothesis that opposes the research hypothesis in
polar fashion. To help support one’s research hypothesis, one has to disprove the null hypothesis.
Step 2) Determine the characteristics of the comparison distribution
- When using two or more samples, one must gather information about the distribution of means.
Step 3) Determine the cutoff sample score on the comparison distribution at which the null hypothesis should be rejected
- Most researchers...

...Course No: URP-2151
Course Title: Statistics for planners-II
An Assignment
On
HypothesisTesting
Submitted By: 090430 Date of Submission: 19.09.2010
Urban and Rural Planning Discipline
Khulna University, Khulna
Preface:
A hypothesis is a statement about a population parameter developed for the purpose of testing. The terms hypothesistesting andtesting a hypothesis are used interchangeably. Hypothesistesting starts with a statement, or assumption, about a population parameter. The statistical testing of hypothesis is the most important technique in statistical inference. There is a different type of test statistics for hypothesistesting. Here the discussions of four types of test statistics are given below:
• The chi-square test.
• ANOVA (Analysis of variance).
• The z test or large sample test.
• The t test or small sample test.
Z-Test:
The Z-test is a statistical test used in inference which determines if the difference between a sample mean and the population mean is large enough to be statistically significant, that is, if it is unlikely to have occurred by chance.
The "Z-Test" is used a lot in statistical analysis and business research. Usually when a research or survey is carried...

...HYPOTHESISTESTING
WHAT IS THIS HYPOTHESIS????
• In simple words it means a mere assumption or supposition to be proved of disproved.
• But, for a researcher it is a formal question that he intends to resolve.
• Example: I assume that 1) under stress and anxiety a person goes into depression.
2) It leads to aggressive behaviour.
Eg. : Students who get better counselling in a university will show a greater increase in creativity than students who were not counselled.
• So, the hypothesis should be capable of being verified and tested.
CHARACTERISTICS
• Should be clear and precise – inferences not reliable
• Capable of being tested
“ A hypothesis is testable if other deductions can be made from it which, in turn can be confirmed or disproved by observation.”
• Should be limited in scope and must be specific
• Should be stated in simple terms -understandable by all concerned.
• Must explain the facts that gave rise to the need for explanation.
BASIC CONCEPTS: NULL & ALTERNATIVE HYPOTHESIS
• If we are to compare two methods A & B and both are equally good, then this assumption is termed as null hypothesis(H0)
• If it is stated that method A is better than method B-alternative hypothesis(Ha)
LEVEL OF SIGNIFICANCE
• A very important concept in the context of hypothesistesting
• It is represented in a % age...

...27 April 2014
Submission date: 9 May 2014
TUTORIAL ON HYPOTHESISTESTING (1)
Basic Concept
1. State the null and alternative hypothesis for each conjecture :
a. A researcher thinks that if expectant mothers use vitamin pills, the birth weight of the babies will increase. The average birth weight of the population is 3.0kg.
b. An engineer hypothesizes that the mean number of defects can be decreased in a manufacturing process of compact disks by using robots instead of humans for certain tasks. The mean number of defective disks per 1000 is 8.
c. A psychologist feels that playing soft music during a test will change the results of the test. The psychologist is not sure whether the grades will be higher or lower. In the past, the mean score was 73.
d. The average time to read a certain passage is 15 minutes. An educator claimed that a course in speed reading will shorten the reading time.
e. A chemist said that he invested an additive which can increase the life of batter. The mean lifetime is 24 months.
f. The mean waiting bus for buses in Klang Valley is 8 minutes. Some roads are restricted to buses only during office hours. A test is performed to see how this has affected the mean waiting time.
2. Determine whether the one-tailed test or two-tailed test is appropriate for the situation given below:
a. Testing whether the newly-purposed highway speed limit increases the number of accidents.
b....

...AdvancedHypothesisTesting Paper
Five business students, with a University of Phoenix learning team, noticed the recent increases of regular unleaded gasoline prices. The students hypothesized the gas prices consumed from corporate stations are not the same price as if purchased from a generic station in a grocery store parking lot, with a confidence interval of 90%. The research team decided to limit the current research to the Houston, Texas area. The students would take a sample, in the natural environment, to include five corporate gas stations and five different grocery stores around Houston.
Retailers, such as Wal-Mart, Kroger, and Randall's (big box retailers), are capturing a growing percentage of the market share of gasoline sales from conventional convenience formats, and additionally, have helped to reduce the mean price of gasoline through lower profit margins and competitive practices. Research indicates since the inception of big box retailers, during mid-1980 into the fuel sales market, overall corporate convenience-store fuel sales have decreased by an average of 13% on a national scale (American Independent Business Alliance, 2005). This decrease is estimated to rise by as much as 16% by 2007 and is likely to continue as retail giants such as Wal-Mart and Kroger vie for fuel sales as an incentive to lure more customers into their stores. At the pump advertising, discount cards, and free-gas with in-store...

...HypothesisTesting I
Pat Obi
What is a “Hypothesis?”
A statement or claim about the value of a
population parameter: μ, σ2, p
Pat Obi, Purdue University Calumet
2
Decision Rule
1.
x 0
Z
s
n
Compare calculated Z value to Z value from
Table (critical Z value)
Reject H0 if calculated Z value lies in the
rejection/significance region (i.e. region)
ALTERNATIVELY:
2.
Compare p-value to
Reject H0 if p-value <
Pat Obi, Purdue University Calumet
3
Two-Tail Test
Ex: H0: 0 = 50; H1: 0 ≠ 50. Test at α = 0.05
Reject H0 if calculated Z is either less than ZCV
on the left tail or greater than ZCV on the right
0
Rejection region: /2 = 0.025
Rejection region: /2 = 0.025
0
ZCV = -1.96
ZCV = 1.96
Pat Obi, Purdue University Calumet
4
One-Tail Test: Right/Upper Tail
Ex: H0: 0 ≤ 55; H1: 0 > 55. Test at α = 0.05
Reject H0 if calculated Z > Table Z (i.e. Zcv)
0
Rejection region: = 0.05
ZCV = 1.645
Pat Obi, Purdue University Calumet
5
One-Tail Test: Left/Lower Tail
Ex: H0: 0 ≥ 12; H1: 0 < 12. Test at α = 0.05
Reject H0 if calculated Z < Table Z (i.e. Zcv)
0
Rejection region: = 0.05
ZCV = -1.645
Pat Obi, Purdue University Calumet
6
Z Table (critical Z values)
Significance
Level
Zcv
One-Tail Test
Zcv
Two-Tail Test
0.10
1.285
1.645
0.05
1.645
1.960
0.01
2.326
2.576
Pat Obi, Purdue University Calumet
7
Rules Governing the Statement of
Hypothesis
In...