#### MS 150 Statistics Fall 2001 Quiz Eleven: Beyond 9.4

Running shoes from major manufacturers this Fall have a population mean price of \$85.93. Twelve Nike shoes this Fall have a sample mean price of \$96.25 with a standard deviation of \$18.36. For a two tail hypothesis test at an alpha a of 0.10 is this price difference significant?

1. What is H0? ___________
2. What is H1? ___________
3. What is a?___________
4. How many tails?___________
5. What is n?___________
6. What is x?___________
7. What is sx?___________
8. How many degrees of freedom are there?___________
9. Determine tc.___________Find the t-statistic t.___________
10. Make a sketch on the back of the t-distribution including µ, ± tc, the t-statistic, and the area in the tails.
11. Do we reject H0 or do we fail to reject H0?___________
12. Are Nike shoes significantly different in price than other brands of running shoes?______
13. Are Nike shoes more expensive than other brands of shoes?______
Statistic or Parameter Symbol Equations Excel
Hypothesis Testing
Calculate a t-statistic (tstat) t
Calculate t-critical for a two-tailed test tc   =TINV(a,df)
Calculate t-critical for a one-tailed test tc   =TINV(2*a,df)
Calculate a p-value from a t-statistic p   = TDIST(ABS(tstat),df,#tails)