ees a OLN ETT TTT THe PROBABILITIES ARE EQUAL WHEN THERE 1S NO GOOD EASON FOR THEIR arING UNEQUAL, VON KRIES HAS CALLED This LAW THE PRINCIPLE OF INSUFFICIENT teason; BOOLE SPCAKS OF IT AS “EQUAL DISTRIBUTION OF IGNORANC (Edwin G. Boring) The Normal Distribution z-score Areas under the normal curve Problem application of areas under the normal curve Learning OBJecTives At the end of this module, you are expected to: 1. give the properties of a normal and standard normal distributions 2. find and interpret z-scores 3. find the areas under the normal curve 4. develop critical thinking by solving rea! life problems using areas under the normal curve = Ail statistics books provide a list of statistical distributions, with their properties, but going through this list can be frustrating to someone without @ statistics background for some reasons. One, the choices seem endless, with dozens of distributions competing for our attention, with little or no intuitive basis. for differentiating between them, Another reason, the descriptions tend to be abstract and emphasize statistical properties which are beyond comprehension of non-statistics majors. Thus, in this text, we are just going to define a few of them and then deal with the most important, “the normal distribution”, The PROBABILITY orsTRIBLTION of a discrete random vatiable ie a list of probabilities associated with each oF its possible values. I is also sometimes called the Brobability function or the probability mass function To illustrate: Suppose the dean will select three students for the annual Mathematics contest. There are § contenders who are equally bright and highly recommended by the school’s Mathematics Sociely There are 3 maies (M) and two females (F). The Possible set of three contestants accordiy to gende 1s listed below S = (MMM, MMF, MFF, FFF, FEM, FMM, ‘AFM, PME) We let X'= The number of males in a group of thvee Here, 118 called a random variable. Table 6a: Values of the Random Variatie. x Event MN MMF FMM MEM MPF FF “eur __| FFF ple tesfoofro}ro|oofse ° Tabie 6b: The Probability Distribution for Random Variable X X__| Occurrence | Probability 0 1 0.128] a 3 o3751 2 3 0.375 [3 1 0.125 J Tota! 1.000° ‘Tue SamPuing pistrIsuTION is’ the probability distribution of a sample statistic. To illustrate: If we compute the mean of a sample of 10 numbers, the value you obtain will not equal the population mean exactly; by chance it wili be a little bit nigher or @ little Lit lower. If we sampled sets of 10 numbers over and over again (computing tne mean for each set), you would find that some sample means ‘come much closer to the population mean than others. ‘Some would be higher than the population mean and some would be lower. Imagine sampling 10 numbers ‘and computing the mean over and over again, say about 1,900 times, and then constructing a relative frequency distribution of those 1,000 means. This distribut'on of means is a very good aperoximation to the sampling distribution of the mean. The sampling distribution of the mean is a theoretical distribution that is approacned as the number of sainples in the relative frequency d'stribution increases. With 1,000 samples, the relative frequency distribution is quite close: with 10,000 it is 2ven closer. As the numbe’ of samples approaches infinity, the relative freque distribution appruaches the sampling, ci stn‘THE NORMAL DISTRIBUTION is one which appears in” a variety of statistical applications. One reason for this is the central limit theorem. This theorem tells us that the sums of random variables are approximately normally distributed if the number of observations is large. For example, if we toss a coin, the total number of heads approaches normality it we toss the coin a lot of times. Even when a distribution may not be exactly normal, it may still be convenient to assume that 3 normal distribution is a gocd approximation. In this case, many statistical procedures, such as the ‘test car still be used. ‘Among the many continuous cistributions us statistics, the normal distribution is by far the most important. Its study dates back to eighteenth century investigations into the nature of experimental errors. it was observed that discrepancies among repeated measurements of same physical quantity showed 2 surprising degree of regularity; the distribution is, approximately normal and the reasons were attributed to chance. : in relation to this, it shows that if we increase the samples to a considerable number, the shape of the distribution approximates a normal curve. This is ‘tated in one of the basic theorems of statistics, the Centra Liwt THEOREM: ‘Centrat Lama Taeonent: if nthe sample size) is large ‘the theoretic Sampling dsibution of the wigan can be approximated closely with o oral istration. In Module 5; we had a brief discussion of what ‘normal distribution is. In this module we will learn more about its property and how it is being used in solving various problems in Statistic, Figure 4 gives us the properties of @ normal distribution. Please go over ther. 70 78 9 8s 90 95 100 mean = medion « mode, symenetica abou the me pais or erds are asymptotic elatna to the horizontal axis. jal aes under the normal cuve is 3.0 ¢ 400% normal Cue area maybe subdhided into standard tons, at east 3to the let and 3 tothe righ of he Figure 1: The Normat Distribution Figure 2 below is the curve for & distribution yq a mean of 85 and a standard deviation of 6, wi, Figure 3 is for a distribution with a mean of 80 ang standard deviation of 10. rc 70 75 80 8S 90 9S 100 Pique 2 Figuee 3 Focus on the shaded reons What can you say about the area from 70+ Are they the same tor both Figures? Obviously 1! ‘are not the same for the two distributions, with Fig 2 having a much larger area. What do you think reason for such differences? Thus, we can say there is a unique normal curve for every combina ‘of mean and standard deviation, Therefore, normal gistribution depends on the w and « As tis physically impossible, and so unnecess! to construct different tables of normal curve areas all conceivable pairs of values of y and a, thus normal curves should be transformed to a “stand Normal Curve" with a z= O and a= 1. Then, we ob! areas under any normal distribution by perform simple change ef scale, in which we convert the ‘of measurement in the original, x-seale, into stand units, standard scores, or zscores, by the formule here xis the raw score, 18 the population mea" {6 41s the popsation standard deviation See how Figures 4 and 6 were converted the Standard Normal Distribution which is 76!" Check the conversion of xvalues to Z-ecores 4 the formula. ‘8 Standard Normal Distrbution has: unOka~lpeers Fques ‘ne Stendard Normal Distribution xu s-score = 52h Fewes ‘@ © 70 6 9 100 10 | Figures 4, and 6 show us that all Normal Distibutions (X-distribution) can fit in to the Standard Nomal Distribution (Z-distribution), and that for an ‘approximately normal distrisution, about 68% of the values fall within p10; 95% fall within g.t20; and ‘ver 99% fall within 1430. Please see illustration in Fae 7. For your exercise, verify it in the data set below: [74 [ 77 [a0] & [a7 [ot 72 [75 [77 | 80 | #3 | a7 | 76 | 78 | 80 | 83 | e7 | 92 [76 | 79 [8s | 93 [a8 | 93 76 [79 | 81 [85 | #9 | 95 WB minaele ele nade te | bem | b__ 96 Figure 7: = 80 and s = 10 Find the toliowing: and venty if d, e, and f are true. bp. 4 How many falls within eto : —— fo & How many falls within 20: —— "— f. How many falls within 30: —— Mow: lets go back to the zsbores. Look at an following box. This is about the grade in 'ar student in two subjects, Algebra and What subject do you think this particular form better? Example 4 ALGES_| ENGUSH ra 73 a[ 5 3 i a |e Zofuon in ALGEB 2 AH 8-05 19 Zafuan » ENGLISH = 7 Figure & Interpretation Juan's score in ALGES is 1 standard deviation above the ‘mean, while his score in ENGLISH is 2.0 standard deviation above the mean, Therefore, Juan performed better in English test than in ALGEB, ri y Although Juan got 85 in Algebra and 83 in English, we cannot conclude at once that he performed better in Algebra. We have to determine his performance in the subject relative to the performance of the other members of the class. This can be done by getting his z-scores in both subjects. I is important to note that a positive z-score lies above the mean, while a negative z-score lies below the mean. Furthermore, the z-score is unitiess, so that comparison can be done in two variables having ifferent units without necessarily converting them to the came unit. Example number 2, finds the test score given the z-score. Example 2:A classmate of Juan in Algebra has a Zscore of 2.1 What was his score? ‘Solution: Using the formula for 2-score, we have: Gen: 2 = 21,u= 80,0=5 oH yyy 4280 a 5 3 ox-80=2:/8) i Pod (Sp) x-80=105 x=905-91 [Do WORKSHEET 6a] There are many problems in Statistics, which can be solved using areas under the nurmal curve. One of them is finding the probability or the likelihood that an event will happen, Our next discussion will focus on how to find the areas under the normal curve and to solve some real life problems. Thetank of a scor whole population, area uncer the normal curve may represent several gs like the probability of an event, the percentile - of the percentage distrioution of the In getting the area, we wili use the Areas Under ‘the Normal Curve Table on the next page, but let me remind everyone of the following: Reminders: 4. The total area under the normat curve ts 1 oF 200%, 2 Syioethe normal cure ig symmetrical about the mest thon half the normal curve has ah crea of C5. 3. The tae we will use ges only the Brea to the Fight fo the mean, 4 The given area inthe table isthe aree from z= Oto 1s alvays + but z can be + of Please ake note 3 the following minders which will somehow velp us in finding the areas under the normal curve 1. Always draw the curve and shade the given region. 2. Simple arithmetic, addition and subtraction are the only operations needed to get the correct area, 3. Always remember that the {otal area under the normal uve '$ 1.0, and half the normal curve has an area of the area under the noni curve is the same as i the crobabity thet we USE. ves the area from 2 = Oto Az re EN Let us examine the following examples: eee Fring the under the normal curve 28 finding *he Probabiity, Example Example 4: Same as Find Pr0e= 51.35) eid eswas sae Step 4. Loca 21.98 [fe 0an5 aces: A= 0.4115 ana Probabtty. P= 42.18% Shade the reauied region Fd te area using he table Aven ie at Z= 1.3 at colun the steps detailed above to solve the biems, will give the area under the normal curve: corecalculator.com/ ee | EMEA Stig Find the area from Z= 010 7» 4.9) (r find P(-1.08 < 2 <0) Guided a“ 32 ora 4. Whats the area? —= 2.0.3413 6, 0.3599 eins zvenmnsd ».0.4881 “4. 0.6000 ares 2. What is 1.0820) orthe area | sete wen yy “trom Z = 010 2 = 1,08? Explain ay your answer! Example 2 is somewhat similar to example: ‘The only difference is there are 2 regions inoi thus, we have to add their respective areas to etn unknown area. See illustration below. Example 2: Find P/-202 $215) ‘Same as: Find the area from Z: .0 10 2 = 2.45, j anos sont = Step 1. Snade the required region Step 2, Find the area using the table. ‘ea from Z= 010 2 =-2.0 ig 0.4772 ‘ea from Z= 0 to Z= 2.48 is 0.4842 ‘0.9614 Do a similar problem in guided practice 2 Guided Practice 2: L. Find P85 <2 ¢ 1.18) 2. Find & region i the normal curve with exacts ‘16 a8 inthe given problem. wt [Sseova lay 4 grample 3 requires you to remember normal rivution property NO. 4, "The total area under the pimal curve 1S 1 or 100%", and therefore, half the prmal curve Nas an area of 0.5, Let us’ examing ple below. ———— mpi 3: find P2139), istne area in problem 4 the seme as in Pr2< +1.58)? Explain What about in P/2™ 1.58)? Explaint Zi PLS +158) der that “the given area in the table is the area 20 to 22" eral Example 4: Find P(0.28 s 2 s 4.75) 4599 A= 0.0987 sate 7s FOm24 01020 1.7580.459° } ssapaet ; Explain. HOM Z= 010 2 = 0.25 is 0.0987 wns popes ew poms eu weu'scomz ug. 2 won woe 2a um0aci FZ 02 wou ave oy ones eve 0 UR PIE BM sen e"8® the process. This time areas will be 8 wi gill find the value of z. The following "teach you in detail how to go about Finding the Z gven the areas under the Normal Curve Example 5: Find Zit the ‘area to the right of 47. 's 0.3085, 0 z=? Step 1, Shado the pen aiea, since 11s "4° itis at the rignt of Z © a. SI half ofthe Normal curve has a = 0,5000 ¥— Subtract the given area A = 0.3085 rete 0.935 ‘Step 2. Find the corresponding Zi the area is 0.1915; this is exacty at Z= 0.5 at column 0: so Z,= 0.5, To find Z, if no exact area can be found from the table, get the closest area. At this point, we will not perform interpolation. Just subtract the area which you got from the area given in.the table which you Suspect is/are the nearest, and whichever gives the smailest difference will be used, For practice, let us do the succeeding problem. Finaing the 7 given the aveas under the Normal Curve Guiced Practice 3: Match the graphs & Zse0res below with Problems 1-4 1 a2 08563, Zi 2.15; 2» 0.36; 2=-1.07;2 Check your answers. meee omz rm ante mE L [Do WORKSHEET 6c.) :Many problems in statistics can areas uncer the normal curve. Consi examples: Example 1. Suppose that the I be solved using ider the following time of a random sample of 2.000 watch batteries are normally distrituted with an average of 1,000 days and a ‘standard deviation of 50, @. What is the probability that the battery will +» last for at least 920 days? . How many of these batteries will last more ‘than 920 days? c. How long must & battery last so that it is in the top 10% of all batteries? Example 1: \ihat is the probability tht the battery vi last for at least 920 days? Step 1: Comvert x = 920 days to Z X= _ 920-1000 | -80 5 50 50 ‘Step 2: The problem can be written as: Fird P22 1.6) 2. Wea = 0.5000 + 0.4452= ossazorP=94.s2% — /O4ASR bb. How many of these eres wl last more thon 820 dat Sate1s (0.9542 (2000) = 3,880 batteries «. How long must a battery last 0 that it isin the top 10% of =-16 all batteries? a Winn the ara is 040, z=1.78 BFK 126221000 : 5 1.064 dys 0 a som 9 0% srpave mia 8 was 611 oy We pre nino SAP Orb a ae cue Sen Cee tam eg ‘EME Me ons mem heme anon Pa Example 2. Suppose that 1000 students have {aken an evam, where 100 poinis is the ‘maximum, feo 1m Mean Is 73, and the standard deviation is Find the probabitity, that 2 random Selected student tas ® Score of 80 and How mary students tad How Scores of 80 ang SupPOSe the Dean decides that the lowest 10% of the students wit enrollina remedial Cla88, what must be the score of a Student ‘P Order Ot to take a remedial class? 4. Find the prcbabilty. that a ravtomly setectea sono nae a sctve off!) and below? Stop 1: Convert x= 80 days to Z mw MO-78 7 yyy %, 6 6 ‘Stop 2: The problem can be wrtien as: Fina Pz), ‘Step 3: Find the area, 2, Area = 0.5000 + 0.3790 = 0.8750 orP = 87.9% How many students haa sored 80 & below? : ‘Since there are 1,000 students, we have , Suppose the Dean decides that the lowest 10% of the students will enroll in a remedial class. ‘wnat must be the scove of @ student in order not to take @ remedial class? When the area is 0.40, 2 =-4.28 [Do WORKSHEET 64.] fi To help you understand more how to ft under the nermal curve please Visit zScore at http://www.zscorecalculator.com/. This * determines the area undér the standard 1007 given z-score values. The area represerts and percentile values. The calculator loolS ithout the use of tables or charts. i" it provides @ graph of the curve with filled area, Area Type Left Right | Left Right Equal Area Left Right Different Area Middle Equal Area Middle Different Area J LMiddle Different Area | fareatype dC instructions: 1. Select area type. Adjust z-score by using the ste manually entering the valves. Press calculate if the scores were ™ entered to update the calculationseee TT Soe SSN} ABSENCE OF EVIDENCE IS NOT EVIDENCE OF ABSENCE, (Cari Sagan US astronomer and popularizer of astronomy, 1934 - 1996) «inferential Statistics + Hypothesis testing ls Z/ttests ~'Pyalue, Excel Printout EARNING OBJECTIVES: It the end of this module, you are expected to: Wve the meaning of hypothesis explain why there is a need to test the hypotheses define important terms in hypotheses testing formulate null and alternative hypotheses Identify the test statistic to be used in testing the significance of difference between means 5. Ztest 5.2 ttest Perform simple test of hypothesis using Z or ttest statistic = is the beginning of inferential Statistics, thus, a 1 Of past modules will help you understand the topics, A our discussions before are so far classified Sescriptive statistics. For example, the Sures of central tendency such as the mean, roan the mode describe the center of the ration. They give us one value, which shows us oe of the overall performance of a group, like oe Erade obtained by a group of students ‘thar aS ferred to as the mean. The middle a to pepears after arranging the grades from véhest is the median, while the grade, ogg, "S the most number of times is called rcaneesures of variability describe how the data ean, 7 the center of the distribution or from ang 3,2 the range, standard deviation, aby, “Oetficient of variation. A small measure Would mean the data are clustered Closely around the mean, or the group is somewhat homogeneous, or the data are uniformly distributed, F Performance is consistent or less variable. On the other hand, the measures of skewness {ell us how the data behave relative to the center of {he distribution, It measures the degree of symmetry oF asymmetry of the distribution from the center. in short, coefficient of skewness will tell ifthe distribution |s normal relative to the center, or approximates the normal distrioution of if-it is @ skewed to the left or a skewed to the right distribution. Kurtosis tells us if the distribution is normal with regards to its peakedness, The succeeding topics go deeper than plain description of the sample or population. You will learn why groups are different, why one group behaves Gifferently trom the other, whether one group is really Performing better than the other group, or why the Sample is different from the population, etc. Doing these things requires knowledge of “Inferential Statistics’, that is, finding out which is REALITY and which is just a COINCIDENCE, ‘These days, you are unknowingly or unconsciously making hypotheses. If you: think you will pass STATISTICS, if you asstime that more than 80% of XYZ College students are right-brained, if you think online learning is better than face to face method, these and other assumptions which you make everyday, are perfect examples of hypotheses. Thus, in the succeeding topics you learn how to formulate and test 2 hypothesis. Tests oF SIGNIFICANCE Once sample date nas been gathered, statistical inference allows researchers to assess. evidence i favor of some claim about the population trom which the sample has been drawn. The methods of inference used to_sungort or reject cats based'on Semole ata are known os tte of aoeiieseee 19 naral English, “saiiean?™onesrs cortant eile i TESy'significant" means probably true. When stati3tierans say the result is “highly significant* they mean Iti very probably rue, They do not necasseriy mean its highly Important In Descriptive Statistics, you were taught that when Group 1 for instance got an average score of 90 while Group 2 has an average score of 85, we readily conclude that Group 1 performed better than Group 2, It is because Group 1 nas a higher mean score than Group 2. Bui is different thing in Inferential Btatistica, hw need 1a search for more guidance fe soying so beyond what numbers tel us. We need to find out if the difference “5” (90-85) is big enough for us to conclude that Group 1 really performed better than Group 2 ty TESTING THE SIGNIFICANCE OF DIFFERENCE between these two mean scores using some test statistics which we are about to discuss,t the aifference is found 19 be ‘significant, it 1s only ‘then that we can make a frail conclusion that Group 1 performed better than Group 2 Testing the significance of difference can also be done between two proportions. For example, if survey Says 40% of respondents are in favor of divorce ‘while 47% are not in favor, with 13% undecided, we ‘Cannot just conctude that the difference between the ‘Proportions of favor and not in favor 1s significant Unless we do the testing But we cannot just test this difference. We need to write it in the form of a HYPOTHESIS, thus the process is calieg HYPOTHESIS TESTING. Let us begin by detning a hypothesis and certifying which is a hypothesis on means and which iS @ hypothesis cn proportions. Examine the sustrations that follow Whaat ts a Hypotuesis? Tyres oF PROBLEMS IN HyrOTHESIS TESTING © Derinirions Waar s «Biro? P+ an equzates guess about the population parameter population paramser ‘ioe neo water Inte wat terse rook G8 a pe te For aistart, we will test hypotheses on rneans and roportions. Please analyze the definitions and try to differentiate @ hypothesis on mean from a hypothesis ‘on proportion by looking at the examples in the box. 8y pair, give your ov examples, Hypothesis on mean: ee Hypothesis on proportion Hypomesis tess sre vn bropertons tis also sens coreaton anasto se ‘ ‘ceming if the “regre ee and the correlation Coeficiente ion s at i ally Significant (discuss in che latter part of is en Agoodoee ait este wanes limited to means and ted in regression and ee in which the muti hypothesis is that the papuiay,, 2 specific probability distribution, such as y ,” probability distnbution Nonparametric 4, methods also involve @ variety of testing procedures. Wnar 1s Hypornesis TESTING? OTHESES: 'ypes of StavisricaL HyP © Derintrions Irwonvsts Teanmas Dus isthe 05883 of ae rferéce oF generalizative on Population Darema, based on the results of the study on sampie -susincat Heporests: is @ eyes 2 oy th FoR chas-agataig Te 2088 -Bhihe study ‘Nu Hiporesis (H,) is aways hoped «al “stiected. Aways contains "=" sign Aureawarve Hyporsesis. (H,) challenges | Never contain *=" sgn, USES “< or > oe! Ik generaly represents the idea which researcher wants.to prove. Hypomiesis Testing: A procedure for deciding 4 my hull nypothesis should be celerted in favor & Every test of significance begins with a HYPOTHESIS, H,. It represents a theory that nasi put forward, either because it is believed to tet because itis to be used as a basis for argumet has not been proved. The ALTERNATIVE HYPO H, is @ statement of what a statistical hyoothesst is set up to establish, It chatlenges H,, anu represents the idea which. the researcher to prove. The logic. of traditional hypothesis equires that we set up ‘wo competing state™ in the form of null hypothesis and the alt hypothesis. These hypotheses are mutually e4 and exhaustive. You will have no probiem in hypothesis since it always uses "=" sign. Yo rouble is the alternative hypothesis, since thee choices, “*". *<", and ~>*, But dont there are glaring clues Beiore we try to write H, and H, let me it (0 you the types of hypothesis tests. Tyres oF HyPotHesis Tes One Tail left/right & Two-Tail Nor-airec.onal The typ Hes of hy mee votheses test is determined tive Hypothesis H,. An alternativesonia 079 Bly ay ve one-sided (one-tail left or rj twosided (1W0-t2il Nor-directionaly niem. A one-tall left/right ight directional) of depending upon rest IS. used it Lergater than the 8. & two-ail Sens that a parameter 18 simply not gece Sat value give by the null hypothesis, thus, the direetins does net matter. In short, if H, uses.> or <, then the hypothesis test is One-Tall right of lett duectiony respectively, ard if H, Uses =, the hypothesis ten x0 Tai! Non directional, For practice. let us altogether construnt the Null hynotheses, which +e appropiate tor f 1esearch titles, Hynotheses are always 9 terivs of population parameter, such as “yp” x mean and “P* for proportion. Let us apply the revious GIScUSSiONS by writing H, and H., given the liowing titles. He & Ha for Titled is done for your atten. Titlet: An Evaluation of the Effectiveness of nine Learning, Problem: The researcher wants to know if online arming 38 significantly increased the average GPA rade Point Average) of students in XYZ College from we known GPA which is 80. The GPA of 200 randomly lected students was found to be 83. Hy 4 = 80; The average GPA of students in XYZ ollege is equal to 80 or Online learning has not lgnicantly increased the average GPA of students XYZ College. Hy: « > BO; The average GPA of students in XYZ liege is greater than 80 or Online learning has ificantly increased the average GPA of students X(2 Coliege. Hypothesis on Means; 1all right cirectional: H, uses >, because the researcher is interested in knowing if Online learning has significantly \ncwasid the average GPA ot XYZ students. ‘Title 2: the Effects of the New Compensation Fags on the Job Satisfaction of Banko Metro icyees: Problem: The manager of Banko Metro wants to rere e"® is @ significant difference on the job lection level of employees before and after the Cotnen sation package is introduced. ofa = ayy; There Is no significant difference io Mee level Of job satisfaction of employees in age ite Before and after the new compensation 'S introduced. 1 Hite * Hogg ThEte 18 a significant difference anal the level of jct, satisfaction of employees in ‘eto before and after the new compensation 'S introduced. 7 t— Hypothesis on Means; 2ait nandtrectional: uses 2, because the manager isjust intrested ‘oknowitthare so significant ctterenca onthejob Satisfaction ie! of employees betore and after the new com sation package is itoduced. Wmether creased oF decreased wil be sean afte. "1 has been done Title 3: An Evaluation of Hotel King & Queen Customer Relations and Services Problem: The hotei manager tasked the Human Resource Office to make a srrvey of the random Picked overnight guests who checked out of the hotel. Al! personnel will get a raise if the proportion of dissatisfied hotel guests 1s significantly lower than 10%. HP = 0.10; The proportion of dissatisfied hotel guests is equal to 10% HP < 0.10; The proportion of dissatisfied hotel guests Is lower than 10%, @ wae cut te ence wr thao emer teste sane ‘nanan ar an 28 Now, you alreacy have some ides on how to formulate the null and alternative hypotheses, Have you seen the glaring clues? Can you give some more of these clues? [Do Worksheet 7.] Decisions: Reject H, or Do not Reject H, Once the test has been carried out the decision is always given in terms of the Null Hypothesis. We either "Reject H, in favor of H,” or "Do not Reject H,"; we NEVER say “reject H,", or even “accept H,". If Wwe decide “not to reject ", this does not necessarily mean that the null hypothesis is tue, it only suggests ‘that there is not sufficient evidence against H, in favor of H,. Rejecting the null hypothesis then, suggests that the alternative typothesis may be tue. Now, the next question is, "What are the basis for Rejecting or Not Rejecting H,?". This is the context of our succeeding discussions. Level oF SIGNIFICANCE, Enrors ano ReJection/AccePrance REGION: “Level of Significance or Significance level" is a misleading term that most researchers cannot. fully understand, This text will try a8 much as possible10 simply #5 neering 50 thet nontechwcal readers cept 10 help Tare decisions c asec can use the on results of the test in using the hynothesistesting procedure to determine if the null hypothesis should be reectes. the person conducting the hypothesis test specifies the maximum allowable probability of making a type error, called the level of significance for the test. The level of Significance which is symbolizes by alpha (a)" is set by the researcher at the beginning of the research. Typical values for a are 0.05, and 0.01. Another interpretation of the significance leve' 4, besed in decision theory, 's that corresponds to the value for wbich one civooses to reject or 1 reject tre null hypothesis H... In decision theory, this is known as & Type l error. The probability of a Type cance level a, and the The the error is equal to the sign’ probability of Type I! error is equal to 6 (1 @ following illustrations wil! help you comprene” meaning of these nypotheses testing terms. Let us start with ERRORS cron woe Tn | 0, it is very clear that the Level of Significance Iu] is the probabiity of commiting a Type | Eror, tis is the basis to Peject or Not to #, aod in short it tw the area of the Rejection Region Meanina oF « = 0.06 and a= 0.04 aw Hypornesis Testing Usually, researchers use either the 0.05 level or sometimes called the 5% level, written as a = 0.95 or the 0.01 level or 1% level, written as a = 0.01 although the choice of levels is largely subjective. The lower the significance level, the more the data must diverge fromi the null hypothesis to ve significant Therefore, the 0.01 lewi is more conservative than the 0.05 leve toh weary ore nog —y Wat 16 a = 0 027 The next shustranons show most of te that we defined and descussed in the Orevous These include: Types of hypothesis Test (G wo Tail Tests), Level of Sigrwicance “a! ang Acceptance Regions, Trees of Heeomess Test Lives oF Seouncance [a] ano ec Reseznn REP With al! major concepts ix Hypcthe™ had been defined and discusses. we ave” start the actus! testing| yanett PAPER: Let ux reco the toms in hypethes's testing {hat we he 2 NUS Of statistical PypoIReneS? ona 1 1 ' 1 1 4, are een etme ena rte Ts jcaiennaenehoenest at t . ' Le mon Wve of significance mhynothesis {emenaern om Hercance meters t ' ; 7 ' saw 9 me 2 N9e8 of errs. Mycthesstestng? vores “ , te emi Ae ' |e we comet Dost tein conessonds oe we 1 ve maton gon? ‘ re eee te tests Eira wees < the testis ' {2 hen we tom Nypothess tests whet we we asualy resi? 1 ' [Do WORKSHEET 7a.) Hypotiesis Testinc APPROACHES: Criical Value Approach and p-value Approach 2nd the 5-step solution. Tse Croat Va.ue APPROACH ore way of deciding whether or not to reject H, i by Ponnanng the value of the test statistics with the Weal value. The critical value is the value that the stistics (Z or T) must exceed in order for the cee neal Tbe alacied. We reject H, if the lute value of the computed Z or T z the absolute Hue of the critical value. ig, otcision rule inthis process is "elect H, 12 - computed! z |Z - entice!” ——_______— ‘Toe Crimcay Vaives ‘What Is Z Give a = 0.05? 79 THE p-Vaiue ApPRoacH ‘ThE pvalue as a too! in decision-making Is now widely sed. Itis utilized as an alternative and equivalent way of conducting tests of significance. Here, we compure value with the level of significance of alpha, thus making our work simpler. The pvaiue 1s often called the observed evel of significance fcr the test. Again, value refers to prababilily or the expected value that the phendmenon is likely 1a ocgur. if the hypothesis 1s tobe tested at w= 0.05 , then the area of the rejection ‘egion 1s 0.05. In this approacn, comparison 1s rade beiween “a and p-value". We reject H, if pvalue = a (0.05), otherwise H, cannct be rejected. ‘The decision rule in this process is, “Rat ovine ha of If the computes Z is 1.33, then pvalue = 0.0918. This represents the area or the probability to the right of Z= 1.33. pralue = 0.0918 Z=1.33 220.05 leajetion eegion) Figure 1 In this diagram, pvalue (0.0918) > a (0.05), therefore H,cannot be rejected. Locating the pvalue from the table of areas under the normal curve is quite cumbersome. Nowadays, various software such as Microsoft Excel, Microsoft Excel Add-in (PHStat), SPSS, Minitab, and many other statistical software provides pvalues as part of the ‘output for various hypothesis testing procedures In this text, we will be using Microsoft Excel Addins which gives both the pwvalue & the critical valve. Tue S-srer SOLUTION These five steps will guide us in hypothesis testing process. They are enumerated in the next box. On the left is the 5:step solution for the critical value ‘epproach while on the right is for the paiue approach. This text is biased for the p-value approach and will recommend it for use because it 15 more convenient ‘and practical than the critical value approach. \Approaches in Hypotness Testing jcecakic BENS na E [caimweame] — [rememen] Computed vs. Crtical Step sotsion Sate sotten re " ise Grawe= || 2's Cavan = Oat “saat Tes eect 4, |] 3, Decne Reet itlonnp-voue| > ovee se lomevel 4 Decne: Rye Do nt 1 becinonsReeciD0 not || rect, oeroee. reject because s. Cneusion s. Coneusion bee TESTING THE SIGNIFICANCE OF DIFFERENCE BeTweeN/AMONG MEANS tatistica! hypothesis tests for Zest. and the FTest or ANOVA. 8 Lee, The three known s means are the Ttest, Please see illustration ‘Sranemica Hyporneses Tests sgniteance of Diferance Betwcen/Among Mears Seine Testing te 6 Fi ‘Nocmal Ztest Zeistroution 230 Tiest aris urkrow || 3080230 2means Ls. ae [7 Fest e | Stodent istebution testis a statistical hypothesis test that follows ‘a normal distribution, the Ttest follows Student's Fistribution while the F-Test or ANOVA toliows an Feistribution. We will discuss the Ztest and the Test first Zaest & Test: Ztest and Test are basically the same. They compare between two means to suggest whether one or both samples come from the ‘same population, Zarse are often spplied in large samples {n > 30}, if the population standard deviation (a] is {/0Wn, and if the distribution is normal. it is used if JeSe Conditions are Met; otherwise, other statistical ts (ike Ttests are applied in substitute. Ztest sed to test if there is a significant ditference Elementary Stat between one sample mean and population mean ay 250 for two sample means. Test was introduced oy W.S. Gossett unter ty en naine “Student”, The Fest is also refered tox the “Studer: Test" itis the most commonly uses ‘Statistical Data Analysis procedure for hypotness testing since itis straightforward end easy (0 use Additionally, it 18 flexible and adaptable to @ bros, range of circumstances. Test is best.anplied, 7 you have a limited sample size (n < 30) a8 long, the vatiabies are poroximately normally istbuteg land the variation of scores in the two groups & not relialy different. tis however noted that i becomes larger. the Tistribetion becomes cio to Zéistibution, Thus, Test can be used not ifn < 30 but also if mis large or n 2 30 and ify populatins’ standard deviation (a isnot know ‘The tcistribution is similar to the Z-distibuy They are both syinmetrcal about the man. Both bel! shaped, but the tdistribution is more vari since tuelues depend on the fuctuation of the me fang the stancard deviation, whereas the 2 value epend only on the fluctuation of the mean to Semule to sample. The two distributions aiter standard deviations, 2 has a standard deviation 4 whie t has a standaid devitign which 1S at greater than 4. The civisor n ~ 1 in the formula for variance a standard deviation, previously discussed is called degrees of freedom (af. If the mean and stance ‘eviatior-are"computed from samples of size n, values oft are said to belong to a t distribution of = n= 1. Therefore, we nave a different t curve Zach possible sample size, suchthat a curve Decor more and more like the standard norma! curve 6 recomes larger or a8 n approaches © Derinition Decree oF ReEDOm: Its the pumber of variables wit F gure 2: Tedistr‘oution with Different degrees of ipo er BY Wwe wii talk about the Ztest first when "P18 large” or when “n see ipopulation standard deviation wgaes can be tested by again it is 30" and a is, ). Three types of Ztest, they are {wo semple means and two sare known, that is Sample meant vs Sample mean 2 ‘These ae the three Ttesis and a Ztest Two Sample fo: Means in an ordinary Microsoft Excel This can be used if the raw ata are enumerated Regression Descgtne Satras © orcs Pratabiny era Ontbava » sang ert rot , t-Test: Pazed Tw Sample tor Means t-Test: Two-Sample Assuming Equal Variances t-Test: Two-Sample Assuming Unequal Variances 2-Test: Two Sample for Hears : ‘wesane Tete Fortean, Hom re bles ots 9 | cseane Teter thevouren.. Seeds +] ate terte core At this point, Microsoft Excel Add-ins & PHStat Mill be introduced as an alternative to formulas. Th has been briefly introduced in Module 1 ‘The first box, labeled as Figure 3 in the dialog ho ‘om an ordinary Microsoft Excel The next boxes are from PHStat, labeled 'eutes 7 ond 5. Again, PHStat is alse sat Ad Microsoft hstical soft to install it tixd CE Cancel —tee_| Figure 3 Zand Tests in an Ordinary Microsoft Excel Figure 4: Gne Sample Tests for Means (2 and 1) i Figure 5: Two Sample Tests for Means (Z and 1) cyan Toa rec: b To Hep. 1 este oftreas Too Prope2 Following are the three formulas for the ZTests. There are again clues so that you will not be confused ‘on which formula to use in the problem. Testing the Siniieance of Diterence Between Means "8 lange oF anon n= 30 and @ is row + Hypothesized/populstion n.ean VS Sample mean ‘and population standard deviation i known, ey Yq % ~ 181% sample mean 7 i ~ ise poouaion mean £ in ~ isthe sample size 1 ~ isthe population ste. dew. ‘Sample mean 1 VS Sample mean 2 and population standard deviation i Kou. F, = isthe mean of sample 1 5, = ssthernean of sample 2 fn, im, ~ 10 ne sero sites 7 = zrothe population ea. aes + Sample mean 4 VS Sample mean 2 and 2 popuiaton Sevations are brown, Semertany ae fl eid does eine Outputs with the result of our computations usirg, og on ndeion a et st at a = 0.05. aa = Since the population standard. is known (a = 10) then we need to use Z-Test z= SH substituting = 80, 7 = Ba n= 40 and. = 10 in the formula, we obtain: ARKO. 3 65 7 0 Next are the 5-step solutions for the Critca pValue approaches. They differ in steps 2, 2 ard but they have the same decision arid conclusion. your choice on which approach to use, but | st 3, = Is the mean of sample 1 ‘recommend the p-Value approach since it is 5, ~ isthe mean of sample 2 ‘and easier to understand, nn din, ~ are be sample sizes 480, ~ are he popiation sta de . ———_——__. Crt v ical Value Approach pValue Approach 1. ,i4= 80; This years batch is : Tre ba ater oe | 1H. i2= 80; This year’s batch is as 4000 Cobege Agen iches in @s the previous batches “| Mp2 80: The went eek College Algebra, in College Ay nan tet] H,3H> 80; This year’s batch is. bette! Previous batches, : in College Algebra than the Previous batches. 2-4 005; 1 gh: Zeomp = 23 r cal = 14 E 1.65 2. 1= 0.08; pValue = 0.0057; 4.7 right 5. Decision rule: Reject H, > 1 1, it |Z (2. (265) thats if auetad : > 3. Decision rule: Reject H (0.0057) Sa(0.05), witet Hot pValue ( 4 Decision: Reject Ho, because p-value (0.0087) < wo.05), a 5. Conclusion: | they “| theret years batcn ie et conclude that tng than the previous bay S15. Conclusion: jth a lerefore conclude that th’ Yee" batch is borter in College Algeb® ‘han the previous batches«explains why the in for the Critical Value proach art quo AppRoacHES IN HyPorkesis Testing plus Approach “™ S/W = / ge 005 aA Ns T2ieia conned» 2h ve Approach cota | pValue = 0.0057 Step 4: Decision: Reyect H, because pValue (0.0057) < a= 0.05, | geo 4: Decision: Relect | sae Zeal (2.65) ———— ths text recommends that you use Microsoft fue! Addins PHStat because they will definitely rake your jab easier. Below is how you wil: input the data ir PHStat, and its corresponding output. Cxampie 2. The ns ATM Wisfy Custor weekend An branches 1s s that nto policy of Banko Meta ts 1 ain enougs seve wittifiawals 1m below, analysis two rowns in the tab ‘Standard devationtai| Php1,200.00] 2,500, Phpi.a00,00[ 2,000 | Test at u = 0.04 if there is a significant difference between the average withdrawals from the two Branches, Note that the standard deviation that we are to use for this problem did not come from the sample. Therefore, tn's will be a Ztest, not a Test Branch | Mean {ye} ‘A [Php6,880 00 B__[Pnp6.790.00) and the Z-test statistic is : : 0-679) Wa ay Tar rae ass mF 30 Saar Do you see this Z-computed value (2,28) in the PHSt output. Are you now convinced that PHStat gives the same value of Z-Tast Statistic as when the formula is used? Figure 6: This is how you fill in the PHStat This is the PHStat Output for Exampie 1 Dialog Box for One Sampls Mean (CBN HighhXvZ College Data Null Hypothesis ne 80 Level of Significance 0.08 Population Standard Deviation | 10 Sample Size 7 40 Sample Mean Intermediate Calculations ‘Standard Error of the Mean’ 158113883 Z Test Statistic 2929622128] Upper Tail Test [Upper Critical Value | 1.644855627 Hy > 80 pValue Reject the null hypothesis Tick Upper Tail Test ogcouse Notice that PHStat gives everything that we need in Hypothesis Testing. All we need to do is to cet up the 5-step solution. (0.068706018 Z Test Statistic = Z-computed = 2.53 Upper Critica Value = Critical Vatue « 1.65 pValue = 0.905706028 Decision: Rajeet Ho oF Reject the null Hypothesis ere oesme = tee Now. let us v try ah Ditteronce” anich ga IDE STM “Hypetheszed ——_probiem wants us t0 test “Ht there hg meee We anos nO ene ae ts ele a ay ™ because we always ass: ne NON-SIGNIFICANCE of DIFFERENCE in Ho, Under ‘he Test Options, Two-Tail Test is ticked because tne two branches”. For the S-Step solution, we y's ‘Approach is left for your exercise Ws Faure 7: Tmis 1 how you fi in te PHSe This is the PHStat Output for Diaiog Box for Two Means | Example 2 | | e ee Hypathesized Difference “Level of Significance [eerent Population 4 Sample Sample Size 00 : Sample Mean Population Standard Deviation 1200 Population 2 Sarnple | ‘Sample Size 500 ‘Sample Mean em Population Standard Deviation T400 Difference in Sample Means 99] Intermediate Calculations idard Error of the Difference in Means | 39.44617| Zest Statistic 2.281591 Two-Tail Test Lower Critica! Value 2.57583) Upper Critical Value 2.575829 pValue (0.022514) Do not reject the null hypothesis ‘The 5-step solution for the p-value Approach: 1. H,:4,=4,: There is no significant difference between tne average withdrawals from the two branches of Banko Metro There is a significant difference between the average withdrawals from the two branches of Banko Mevo S-Vaiue = 0.022514: 21 Nondirectional Reject H, if p-value (0.022514) < (0.022514) > a0.01) Conclusion: | therefore Significant ference between the average with. crawais from the two branches of Banko Metro, - @ Winy did we not divide «= 0.03 by 2 whet 'sa 2 Tall est? Dividing by 2 will only complicit Work, since if we do that, we also need io PYalue by 2, ending up in the same cf 3nd the same conclusion. {Do WORKSHEET 7b,} Now we move on to T-Test Real world problems do not usually Population standard deviation {a], giving US alternative but to use the T-Test. In fact Powerful and the comprehensive Statistical ‘SPSS (Statistical Procedure of Social SO" ‘ot use ZTests,Example 3. TTesi: Fopulation Mean vs Sample Mean; @ is unknown & n is small (10); PHStat can be used to process these data; Ordinary Excel has no option for one sample test, so it cannot be used in this example. Problem: A ten randomly selected oil wells in a large field produced 21, 19, 20, 22, 24, 21, 19, 22, 22, and 20 barrels of crude oil per day. is this ‘enough evidence to conclude that the oil wells are not producing an average of 22.5 barrels of crude oil per day? Test at 9.01 level of significance. The given data are: z = 22.5, u = 0.01, sample mean and standard deviition are not given, therefore Elementary Stay you have to solve using your calculator. Check ity can get X = 21,8, = 1.56. Since only one sample mean and one stangy deviation aro given, the first formula vil be use ‘Substituting the value we have the following solution pa Bowe _ 21-22NT0 _ 3.04 epee Samat The Sstep solution for both the Critical = pValue Approaches are done. Please compare » steps anc: decide which you will adopt. Critical Value Approach pValue Approach 22.5; The oil wells are producing 22.5 bartels of oil a day. H, : t= 22.5: The oil wells are not producing, 22.5 barrels of oil a day. = 22.8; The oll wells are producing 22.5 barrels of oil a day. H, : 4 # 22.5; The ollwelis are not producing 12.5 barrels of oil a day. H, 2. & = 0.01; df=9; 7, = 3.250 (from the table of Student Distrubution); @ = 0.04; p-Value ~ 0.01400313; 2-Tail 3. Decision rule: Reject H, if 1t,(-3.04)]> T,,,-3.250], that is i 3.04 2 3.250. Decision rule: Reject Ho if p-Value (0.01400323) < a(0.01), “4. Decision: Do not reject Ho, because 3.04 < 3.250. | Decision: Do not reject Ho because p-Value | {0.01400313) > a(0.01) . Conclusion: | therefore conclude that the oil wells are producing 22.5 barrels of oil a day. (This mearis that there is no enough evidence to conclude that the oil wells are not producing an average of 22.5 barrels of cruse oi per day, and that ihe average %=21 produce’ by the 10 samples is not signifcantly lower than u=22.5) | Conclusion: | therefore conclude that the | oil wells are producing 22.5 barrels of oil a day (This means that there is no enough evidence to conclude that the oil wells are not producing an average of 22.5 barrels of ciude oil per day, and that the average Y¥=21 produced by the 10 samples is not signifcantly lower than u=22.5). | Using PHStat, you should go to “One Sample Test, Hest for Means signia unknown”. Again, compare the values in the PHStat output with the values we obtained using the formula and the Critical Value approach. Are they the same? What is the equivalent of the fotlowing values in the PHStat Output? a. Teomputed = -3.04. b. Teritical or tab = 3.250 __ So, for convenience, we will be using PHStat in ur succeeding discussions as well as. the Value Approach, f Glass, she considered 14 students vith ¥"", used the IGI method. After sovera! sessio"®, table below, Example 4. T-7est for Two Independent Sample Samples drawn from entirely different populetis 's unknown; Since the data are enumerated Excel can be used. Both Excel and PHStat are given. Problem: A teacher wanted to find out " Team Based Instruction (TBI) method of ‘2 Statistics is more effective than the Ind! Guided Instruction (IG!) method, Two cl approximately equal intelligence were selecte? one class, she considered 15 students wil" she used TBI method cf teaching and from 'm test was given. The scores are show" "Example 3 T-Test Intermediate Calculations Standard Error of the Mean (0.493315315 Degrees of Freedom 2 {Test Statistic "3,040651556, Two-Taii Jest Lower Critical Value -3.249842848 Upper Critical Value 3.249842848 pValue 0.01400313 Do not reject the null hypothesis 13 [14 [15 30 | 29 | 18 | as [13 ET ee ee ee ee ee ee Tai_| 30 | 28 | 29 | 20 | 18 | 19 [ 16 | 27 | 22 | 24 | 26 ie [25 | 27 | 20 | 30 | 16 [ 21 | 15 | 25 | 28 | 24 | 19 Based or, the result of the test, can we say that Substituting ¥, = 24.27, ¥, = 21.07, s, = 4.98, BI method of teaching is more effective than the IG! 5.21, n, = 15, and n, = 14 to the formula, wthod? Use a = 0.05 we obtain: 24.27 - 21.07 Methog n ¥ | 5, a = 1.09 ; 7 15 24.27 | 4.98 Cr Ier 14 21.07 [ 5.21 oa l5+14-2=27 s talon: Since:n, = 15 and n, = 14, and there a naebendent Samples, then we use the 2nd " Mest and the test statistic 'sSample Size Sample Mean Sample Standard Deviation Population 2 Sample Somme Sue [Sample Standard Deviation — ie ~ = Intermediate Galcuiations Population 1 Sample Degrees of Freedom Population 2 Sample Degrees of Freedom 5 Total Degrees of Freedom | Test Statistic : 1.691099 Upper Tail Test me Upper Gritical Value [3.703238 | 0.084466 pvalue Donat reject the null hypothesis | rr a ] Hiotice the followin, silanes among the vatues obtained from the use of formuin, ordinary Catal ond PHStat. Formula: computed = 1.69 Phstat ‘Mest Statietic = 1.691099 = 1.69 Orsinary Exce! ‘Stat = 1.688844169 = 1.69 PHstat Hinges Crt eal Value=1.703288=1 70 breinary Exe! ‘Guiica one tind. 703288035=1.70 Pusat pValue = 0.051166 one-tail = 0,051583632 Following isthe Cicinary E>cel Output. Cunngave the vate Ce pe Semple Assusnig Equal variances al) [30 [5 ia) an | 28 | 27 | A Tel 29 [20 [Mean 24,26660067 20 | 30 | Variance 24, 78095238 18 | 16 | Observations 15, 19 | 21 [Pooled Variance 2592081129 16 | 15 [Hypothesized Mean Difference ala 0 27_[ 25 [ai = . 27 22 3 8 | t Stat 1688844169 | 24 21 | P(T<=t) one-tail fs 0,051383692 26 | 19 [t critical one-tail S. 1.703288035 28 [27 _[Pit<-) wotail To.t02787384 A 30_|_28 |r Griical tworai ~ Y_208te2z91a2[ 29) 3 ss | AB dos 4 . c i1 Foor Bay geiow is the 5 ~ step solution using the p-value appr000"! | te dg = llr’, The Team Based Instruction method 4. RoC Preaching Statistics is as effective as the individually Guided Instruction method. gy > Hoa. TR Team Based instruction method * Of teaching Statistics is more effective than the Individually Guided Instruction method, = 0.05; one tailed; p-Value = 0.051166; ait right directional |g. Decision rule: Reject H, if p-Value (0.051166) < 440.08). 44, Decision: Do not Reject H., because p-Value | (0.081166) > (0.05). Conclusion: | therefore conclude that the Team Based Instiuction method of teaching Statisties is @8 effective as the Individually Guided Instruction method. ao Example 5. Test for Dependent or Correlated Samples—Data are drawn from the same population/ sample at two different times and conditions. Both Ordinary Excel and PHStat can be used In this problem. The Steps in the Dependent/Correlated Samples ‘Test: 1. Get the differences (Before/Pre-test minus After/Post-test) 2. Find the mean and standard deviation of the differences. 3. Solve for f using the 3rd formula or use PHStat, or tTest Paired Two Sample for means in ordinary Excel. Problem: The following are the weights in pounds of 16 individuals before and after 3 months of taking fruit diet. weghts Solution: Since the two sets of data are taken ‘rom the same set of sample, then we: use the ttest, ang the test statistic Ist, TVn gre n_ 1 3 Fist, 5 we have to get 7 and s@ . By using the formula or ‘@leulator for finding the mean and standard deviation ve find that the mean of the differences is 5.38 and the standard deviation is 5.52. Substituting d = 5.38, 52 and n = 46 in the formula, we obtain? Assumptions NO LO tore v Srers monn ot Je Figure 10, [We Before [243 [179] 201 | 165 200 [180 [212 [169 [178 [209] 158] 192] 144 wt. After | 231] 173 | 199 | 162 180] 177 | 207| 170 | 171 | 196 | 159 | 190 | 140 Dif. fei |aea|aa 20)| ea 7 [as [-1 [2 Ta Test at = 0.05 if fruit diet is effective in reducing , B 3.90:df= 16-1815 wre we { Me the mean before taking fruit diet © 1e\ 1 ju) = the mean after taking fruit diet Let us use PHStat to get the computed value of f. For dependent or correlated-samples, Go to One-Sample Tests—the f Test for the Mean, Sigma Unknown will be used. See the following illustrations: Dependent/Correlated samples y Data ‘Null Hypothesis ue 0 Level of Significance 0.05 ‘Sample Size pitied 16 Sample Mean 5.38 Sample Standard Deviation 5.52 E Intermediate Calculations Standard Error of the Mean 138 Degrees of Freedom 15 t Test Statistic 3.898550725 | Upper-Tall Test Upper Critical Value 2.753051038 pValue 0.000742718 Reject the nutl hypothesisfrom te pr 1 Test 8! nd the formula teomputed and #6 aKa The sane The S-step solution using ov © APDrOAEH 1s W9 follows 1. Ho ay = 1,5 Fruit diet is not effective in reducing, woight. Or(H, 41, ~ #1," 0) Hy, > Hi Fruit diet is’ effective in reduc woight. Or (Huy ~f,> 0) 2. @ = 0.05; pValue = 0.000712748; 1-Tail night directional 3. Decision rule: Reject H, if p Value (0.000712718) « (0.05) 4, Decision: Rojec Hy, {0.000712718)"s (0.08) 5. Conclusion: | therefore conclude that fruit diet is effective in reducing weights. ae because — pValue You may also use ordinary Excel:ttest Pawed two Sample for Means. In this way, you ure not required to get and solve for the mean and standard deviation of the differences and still get almost the same tTest statistics and p-value as in PHstat. Following is the printout 178105 Vesrton é-lest and Pest-Test of Job Sati il we, 0 imple 6. Twst for Dependent or Corre Samples—Pre-Tesi/Post Test Problem: The CEO of Banco Metro wants to i the impact of the new compensation package & ber (on the level of job satisfaction among randomly sel managers of Banco Metro nationwide, He comniss a gracuating student from a leading Universi, Manila to make this as her undergraduate 1 Agswiming that working conditions end everyttrg in the bark remains the same except the introc of the new compensation package, "test at 0.95 if the new compensation package has increased Satisfaction level of bank managers” Following are the steps they followed: Step 1: Theyrandomly selected 30 bank brand and used their respective mana sample in the study Step 2: A Job Satisfaction Inventory (survey) administered one month before the package was implemented. The collected are the pretest. Step 3: After 6 months of implementation, th Satisfaction inventory (survey) was administered to the same subject: data collected are the post-test isfaction inventory Le]ore Bay Towing scale and mean interpretation were used. Tre fol searcher used Table 7a for ts mean interpretation table 7a: Mean !nterpretation | Range, Interpretation Tp0- 1.79 [Very Dissatisfied }{g022.59_| Somewnat Dissatisfied 760 -3.39_ [Neutral il $194.19 | Somewhat Satisfied 7525.00 [Very Satisfied YS | mmple Standard Deviation intermediate Calculations (0,146059249) Standard Error of the Mean Degrees of Freedom S:step solution: Hedy. Hy, t The new compensation package has not increased .the jo satisfaction level of bank 4 managers. Or (H, : Hp ~ Hyw = 0) ‘Hye € Hyg The new compensation package has increased the job satisfaction level of bank managers OF CH, £ He ~ Hue <2) = 0.05: pValue = 0.002665265: ‘LTail left 165265) Reject H,, because Prclus) 165) < a(0.05). pmncSion: | therefore conoludé 'ensation package has increased ‘Ne ‘action level of bank managers: fe that the new job on For your exercise, generate the printout using ordinar, Excel Test Paired Two Samples for Means, and ther compare the t Tast Statistic and the pyvalue with that of the PHStat Seventy Week Oureut Each group will formulate at least 2 hypotheses drawn from their research project. 41. hypothesis for means 2. hypothesis fer proportionsries more adaptable thon 20 ne 200m oon corn coraivens 10 be retin. Acanonson ee ine'y methad tet witout oy nese to Ione steps 1" testing the significance of difference re, means using the Test are just the sane sawon” Treat. The difference lies in the use of the #* with M1 degree of freedom insiead of eorweat @atricution. A table of the Ta bution Sica ts text Notes that ae “n apm sony the erica! value of T approaches the critical tae oF, that is, T becomes Z, Howto use the table "Student Distribution”, Below we are going to cicuss tee T test ORCL MOBS. Thene me the Test on hypothesized and sample me independent sami s, ang Correlated sample samples {n the box are the three formulas for the Ttewt ‘tn he Sntcons of Omroney somone came “population standard denen * osteaeed/spuon neces tec ee wn So gy) * Yon omna Sainple Means Fe et aren en, +m? sportier ofthe table which is found in this tse ear (2-006; of9 and the testis twortalled; («2.262 * Benenden: ar Comeetod Same Meas (0-9 19 and the testis onetaled /,.02.7ea, de yen t Tome Tet] 008 [O25 S0r oa seme TST 0.10 | 0.05 | 0.02 | 0.02 1.895 | 2.365 | 2.998 | 3.499 1.860 | 2.306 | 2.896 | 3.355 1.833 | 2.262 | 2.821 | 3.250 1.812 | 2.228 | 2.764 | 3.169 | 1.943 | 2.447 | 3.143] 3.707 | | we #6 various Ttests and two most commonly Sit ests are the one-sampie and paired-sample ren resample Tests are used to compare a [een with the known population mean. Two- fas “sis, the other hand, are used to compare ‘ndeoendent samples or dependent samples. jhe first formula is used for testing the significance Of difference between the known mean/populat on mean and one sample mean; the second is used for {wo independent sample means; and the third is for cependent or correlated samples. Again, we will use Mirosoft Excel Addins and PHStat for testing the Significance of difference between means using T fests Ordinary Exce! can process enumerated or raw data for T-Test for two means. Next, illustration shows 2 dialog box for Ordinary Excel and the corresponding Mest Statistics for the three given formulas. Pristae can also process T-Test data equivalent to the one sample mean, ttest paired two sample for means and two independend samples, Please examine the following illustrations and examples 3 & 4 Figure &: Ttest [ Becende const Samples =the same set of same *efore and ater | *oveest and post tet | 3a formula Independent Samples nave eaval 2nd toon ty s 1 OHStat [Same a 9 mStar [iramoerdert Samos Jato f