What I Can Do: Decision Making
What I Can Do: Decision Making
11- Volunteerism
WHAT I CAN DO
Solve.
A manufacturer of sports equipment has developed a new synthetic fishing line that he claims
has a mean breaking strength of 8 kilograms with a standard deviation of 0.5 kilogram. Test the
hypothesis that μ = 8 kilograms against the alternative that μ ≠ 8 kilograms if a random sample
of 50 lines is tested and found to have a mean breaking strength of 7.8 kilograms. Use a 0.01
level of significance.
Given X =7.8
μ=8
σ =0.5
α =0.01
n=50
Population parameter of interest. The parameter of interest is the mean of the population
where the sample comes from.
Hypothesis H O ; μ=8
H a ; μ≠ 8
Assumptions: By CLT, it is normally distributed
Sample size
Random sampling
Sampling
- Level of Significance α =0.01
- One-tailed or two-tailed? Two-tailed
- Critical Value z=± 2.58
Compute the test statistic X−μ 7.8−8
Z c= = =−2.83
σ 0.5
√n √ 50
Decision Rule ≤
If the computed value negative critical value or if the
computed value is ≥ positive critical value, reject the
H O. Otherwise, do not reject the H O.