AP Statistics ~ Hypothesis Testing and Confidence Intervals ~ Solutions For each problem, do the aporoprite test and complete all sections. Caleulators are allowed but you must show all important statisties founs. Conclusions must he made in a sentence form thats appropiate for the problem 1A Toca chamber of commerce elaims thatthe mean family income ina city is $12,250. An economist suspects otherwise and runs a hypothesis test using «sample of 135 families and Finds a mean of SI1.S00 with standard deviation of $3,180, Should the $12.250 claim be rejected ata 52% level? Find the 95% confidence nterval foe mean family income ‘Test: (One sample red Given i formation: = 11Sb0=135.5= 3180) Parameter of interest (appropriate to the problem situation): ie tre mean Family Tneome nth ey ‘Assumed SRS of Families ] nao Nall and Alternative Hypetheses: ie = TR) Hs w = 12250 Appropriate statistic (either by shown formula or caleulator ~ underline) T1300 12350 7180 vis 2.740.df = 134| pale Loo CConctusion regarding Ho: Signiant, ees Hy. ace) 1 published $12,280 Confidence interval (cither by shown formula or caleulator mnderline) Meaning of confidence interval i words: (Weare 05% sure thatthe trae average family Income in hat city fs between $10,959 and $12.04]2. union spokesman claims that 75% of union members will support a strike i thee base demands are rot met. A company spokesman believes the true percentage is lower and runs hypothesis test at the 10% significance level. What isthe conclusion if 87 of 125 union members say they will strike? What is the 90% confidence nterval forthe percentage of members who say they wil strike? ‘Test: fine imple = proportion Given information: Parameter of interest (appropriate to the problem situation) (ihe rae percenge of union member who wil suppor a Sik Conditions: Assumed SRS of union workers {We will assume tht the numberof union members is more than 1.250 tip ST. p) = 38 shih ate both greater than 10 Nall and Alternative Hypotheses: pay Hop <75) Appropriate statistic (either by shown formula or caleulator— underline) There is moderate evidence hat fess than 759% ofthe union members will suppo [numberof union members s greater than 1.250. The she, assuming Confidence interval ( ther by shown formula or ealeulator underline) £696 + 1604] 243) «628 vo 764 Ds ‘Meaning of confidence interval in words: We are 50 confident thatthe ae perceniage of union members supporing a strike is between 62.8% and 76.4%. Again this is assuming thatthe number of usion members is preatr than 1.250. ——— 7