1.

According to an advertisement, a strain of soybeans planted on soil prepared with a specified fertilizer
treatment has a mean yield of 594 bushels per acre. Twenty farmers who belong to a cooperative plant the
soybeans in soil prepared as specified. Each uses a 40-acre plot and records the mean yield per acre. The mean
and variance for the sample of 20 farms are x = 550 and s 2 = 10,000. Specify the null and alternative hypotheses
used to determine if the mean yield for the soybeans is different than advertised. (10 Points)
Null Hypothesis M= 594
Alternative hypothesis M≠ 594
Critical values +-2.093
Reject regions = t < -2.093 or t > 2.093
Test statistic = -1.96774
2. An insurance company sets up a statistical test with a null hypothesis that the average time for processing a
claim is 4 days, and an alternative hypothesis that the average time for processing a claim is greater than 4
days. After completing the statistical test, it is concluded that the average time exceeds 4 days. However, it is
eventually learned that the mean process time is really 4 days. What type of error occurred in the statistical
test?
A) Type I error B) Type II error
C) Type III error D) No error occurred in the statistical sense. (10 Points)

3. Consider a test of H 0 : μ= 7. For the following case, give the rejection region for the test in terms of the
z-statistic: H a : μ≠7, α= 0.01
A) z > 2.575 B) z > 2.33 C) |z| > 2.575 D) |z| > 2.33 (10 Points)

4. A national organization has been working with utilities throughout the nation to find sites for large wind
machines that generate electricity. Wind speeds must average more than 16 miles per hour (mph) for a site to
be acceptable. Recently, the organization conducted wind speed tests at a particular site. Based on a sample of
n = 50 wind speed recordings (taken at random intervals), the wind speed at the site averaged x = 16.7 mph,
with a standard deviation of s = 3.6 mph. To determine whether the site meets the organization's requirements,
consider the test, H 0 : μ= 16 vs. H a : μ> 16, where μis the true mean wind speed at the site and α= .01. Suppose
the value of the test statistic were computed to be 1.37. State the conclusion.
A) At α= .01, there is sufficient evidence to conclude the true mean wind speed at the site exceeds 16 mph.
B) At α= .01, there is insufficient evidence to conclude the true mean wind speed at the site exceeds 16 mph.
C) We are 99% confident that the site meets the organization's requirements.
D) We are 99% confident that the site does not meet the organization's requirements. (10 Points)

5. In a test of H 0 : μ= 70 against H a : μ≠70, the sample data yielded the test statistic z = 2.11. Find and interpret
the p-value for the test. (11 points)

P-value = 0.017

6.

The TIV Telephone Company provides long distance service in their area. According to the company's
records, the average length of all long-distance calls placed through this company in 1999 was 12.44
minutes. The company's management wants to check if the mean length of the current long-distance
calls is different from 12.44 minutes. A sample of 150 such calls placed through this company produced a
mean length of 13.71 minutes with a standard deviation of 2.65 minutes. Using the 5% significance level,
test the hypothesis that the mean length of all current long-distance calls is different from 12.44
minutes. a. What is the null and alternative hypotheses? b. The test statistic? c. The rejection region(s)?
d. Indicate whether you reject the null hypothesis. e. What is the p-value? (Each part is 5 points.)
7.
A consumer product magazine ran a story concerning the increasing price of digital cameras.
The story stated that digital camera prices dipped a couple of years ago, but now are beginning
to increase in price because of added features. According to the story, the average price of all
digital cameras a couple of years ago was $215. A random sample of 22 cameras was surveyed
and it was desired to test if the average price of all digital cameras is now more than $215. The
sample mean was $245.23 with a sample standard deviation of $15.62. Do a test of hypothesis
indicating a. the null and alternative hypothesis, b. the test statistic, c. the rejection region, and
d. whether the null hypothesis should be rejected. Let alpha be .01. (Each part is worth 6
points.)
Critical Value +- 2.831

Answers

Name Julian Belay

1.
Null Hypothesis M= 594. Alternative hypothesis M≠ 594

Critical values +-2.093

Reject regions = t < -2.093 or t > 2.093
Test statistic = -1.96774

2. A.

3. B.

4. D. And B.

5. P-value = 0.017
6.
a. Null is H0: u = 12.44 Alt is H1: u ≠ 12.44
b. Test statistic = 5.8695
c. t0 > t a/2, n-1 Critical value = 1.976 t < -1.976 or t > 1.976
d. t < -1.976 or t > 1.976
e. 5.8695
7.
a. The n = 22 and alternative alpha = .01 Alternative is u > 215
b. -1.96
c. t < -2.831 or t > 2.831
d. Reject Ho if t >