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Problems in Hypothesis Testing

Problems in Hypothesis Testing

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06/23/2013

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Problems in hypothesis testing
1.
A manufacturer for a new motorcycle claims for it an average mileage of 60 km per litrewith a standard deviation of 2 km under city conditions. However, the average mileage in64 trials is found to be 57 km. Is the manufacturer’s claim justified?
2.
An owner of the press claims that the life of its largest web press is 14,500 hours with astandard deviation of 2,100 hours. From a sample of 25 presses, the company finds asample mean of 13,000 hours. Do you think that the average life of the presses isdifferent from 14,500 hours as claimed by the company? Verify it at 0.01 level of significance.
3.
A radio shop sells, on an average, 200 radios per day with a standard deviation of 50radios. After an extensive advertising campaign, the management will compute theaverage sales for the next 25 days to see whether an improvement has occurred. Assumethat the daily sales of radios are normally distributed.I.Write down the null and alternative hypothesesII.

Test the hypothesis at 5 percent level of significance if xbar = 216.III.

How large must xbar be in order that the null hypothesis is rejected at 5 percentlevel of significance?
4.
An aircraft manufacturer needs to buy aluminium sheets of 0.05 inch in thickness.Thinner sheets would not be appropriate and thicker sheets would be too heavy. Theaircraft manufacturer takes a random sample of 100 sheets and finds that their averagethickness is 0.048 inch and their standard deviation is 0.01 inch. Should the aircraftmanufacturer buy the aluminium sheets from his supplier if he wants to make thedecision at(i) 5 percent level of significance?(ii) 1 percent level of significance?
5.
An advertising company feels that 20 percent of the population in the age group of 18 to25 years in a town watch a specific serial. To test this assumption, a random sample of

2,000 individuals in the same age group was taken of which 440 watched the serial. At
5
percent level of significance, can we accept the assumption laid down by the company.
6.
The credit manager of a department store chain believes that the average age of chargeaccount customers is less than 30 years. A random sample of 100 charge accountcustomers reveals a mean age of 27 years and a standard deviation of 10 years. Do thesedata provide sufficient evidence to support the credit manager’s belief? Let level of significance be α = 0.05.
7.
A stock-broker claims that she can predict with 85 percent accuracy whether a stock’smarket value will rise or fall during the coming month. As a test, she predicts theoutcome of 60 stocks and is correct in 45 of the predictions. Do these data support thestock-broker’s claim?
8.
An insurance agent has claimed that the average age of policyholders who insure throughhim is less than the average for all agents, which is 30.5 years.A random sample of 100 policyholders who had insured through him gave the followingage distribution.
Age Last Birthday(Years)No. of Persons Insured
16—20 1221—25 2226—30 2031—35 3036—40 16
Total 100

Test his claim at the 5 percent level of significance.
9.
A random sample of boots worn by 36 soldiers in a desert region shows an average life of 1.08 years with the standard deviation of 0.6 years. Under the standard condition, the boots are known to have an average life of 1.28 years. Is there a reason to assert at 1 percent level of significance that use in desert causes the mean life of such boots todecrease? What will be your conclusion if the level of significance is 5 percent? Assumethat the life of boots is normally distributed.
10.
Two types of batteries are tested for their length of life and the following data areobtained:
Sample Size Mean LifeVariance (hour)
Type AType B98600640121144Is there a significant difference in. the two means?
11.
You are given the following data about the life of two brands of bulbs:Mean LifeStandard deviationSample SizeBrand A2,000 hours250 hours12Brand B2,230 hours300 hours15Is there a significant difference in the mean life of two brands?