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Random Motors Project: Rocinate 36

This document contains a student's responses to questions regarding hypothesis testing performed on two new car models, the Rocinate 36 and Marengo 32, to determine if their mileage and top speed specifications are being met. The student formulates the null and alternative hypotheses for each model and performs t-tests to analyze the data. For both models, the student fails to reject the null hypotheses based on the p-values lying above the significance level, indicating the specifications are being met. The student also explains that a Type II error, where the null hypothesis is not rejected when it is actually false, would be more costly for the company since it could result in refunding customers.

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Keshav Sarda
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75% found this document useful (12 votes)
5K views2 pages

Random Motors Project: Rocinate 36

This document contains a student's responses to questions regarding hypothesis testing performed on two new car models, the Rocinate 36 and Marengo 32, to determine if their mileage and top speed specifications are being met. The student formulates the null and alternative hypotheses for each model and performs t-tests to analyze the data. For both models, the student fails to reject the null hypotheses based on the p-values lying above the significance level, indicating the specifications are being met. The student also explains that a Type II error, where the null hypothesis is not rejected when it is actually false, would be more costly for the company since it could result in refunding customers.

Uploaded by

Keshav Sarda
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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RANDOM MOTORS PROJECT

NAME : KESHAV SARDA


ROLL NO.- DM21A148
EMAIL- sardakeshav09@gmail.com

Q :1 Formulate the null and alternative hypotheses for mileage and top speed to check whether the new models are performing as
per the desired design specification
Answer : The Null and alternative hypotheses for mileage and top speed are as follows

Rocinate 36

MILEAGE(Km/ltr)
NULL HYPOTHESES H0 : µ=22
ALTERNATIVE HYPOTHESES H1 : µ≠22
TOP SPEED(Km/ltr)
NULL HYOPTHESES H0 : µ=140
ALTERNATIVE HYPOTHESES
H1 : µ≠140

Marengo 32

MILEAGE(Km/ltr)
NULL HYPOTHESES H0 : µ=15
ALTERNATIVE HYPOTHESES H1 : µ≠15

TOP SPEED(Km/ltr)
NULL HYPOTHESES H0 : µ=140
ALTERNATIVE HYPOTHESES H1 : µ≠140

Q:2 In order to comment on whether or not the design specification are being matched ,perform relevant hypothesis tests and
calculate the p-values for each model.What will you conclude?Assume that you are performing the tests at a 95% confidence level
Answer:- As the samples size we Have is less than 30,we will be going with t-test

Rocinate 36
Mileage(km/hr) Top speed(km/hr)

Mean 21.6195 Mean 140.97

Variance 0.859868158 Variance 29.14010526

Observation 20 Observation 20

Hypothesized 22 Hypothesized 140


Mean Mean

df 19 Df 19

T stat -1.835074607 T stat 0.803602305

P(T<=t)Two tail 0.082200247 P(T<=t)Two tail 0.431566151


t Critical two tail 2.093024054 t Critical two tail 2.093024054

From this conclusion we failed to reject the Null Hypothesis as the P value of the te

st is lying under the accepted significant value

Marengo 32
Mileage(km/hr) Top speed(km/hr)

Mean 15.1605 Mean 211.05

Variance 0.210499737 Variance 26.48473684

Observation 20 Observation 20

Hypothesized 15 Hypothesized 210


Mean Mean

df 19 Df 19

T stat 1.564459252 T stat 0.912444517

P(T<=t)Two tail 0.134212987 P(T<=t)Two tail 0.372967671

t Critical two tail 2.093024054 t Critical two tail 2.093024054

So, from this we are failed to reject the Null Hypothesis as the P value of the test is lying under the accepted significant value

Q:3 You have already learnt about the possible errors that might result from hypothesis tests .Which type of error Is more expensive
for Random Motors , and why? Assume that you need to refund the money to all your customers if your cars do not deliver the
promised specification
Answer:-`No Hypothesis Test is 100% Certain because the test is based on probabilities therefore there is always a chance of making
an incorrect conclusion. When you conduct a hypothesis test 2 types of errors are possible
TYPE I ERROR AND TYPE II ERROR- Risk of these two errors are inversely related and Determined by the level of significance and the
power for the test
Type I error and Type II error:

Truth about the population


Decision based on sample
H0 is true H0 is false

Fail to reject H0 Correct Decision (probability(1-α) Type II Error_fail to reject H0 When


it is false(probability=β)

Reject H0 Type I Error_rejecting H0,When it Correct Decision(probability=1-β)


is true(probability=α)

α= level of singnificance you set for your hypothesis test


β=depends on the power of test:

CONCLUSION:-
Based on the assumption to refund the money to all our customers if we not deliver the promised specification and based on above
table TYPE II ERROR will be more expensive for Random Motors

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