--%>
Assignment Help - homework help

Compare the test results

The grade point averages of 61 students who completed a college course in financial accounting have a standard deviation of .790. The grade point averages of 17 students who dropped out of the same course have a standard deviation of .940. Do the data indicate a difference between the variances of grade point averages for students who completed a financial accounting course and students who dropped out? Use α = .05 level of significance. Use both p-value and critical value approaches. Compare the test results.

 

E

Expert

Verified

Data

N1 = 61, SD1 = 0.79, N2 = 17, SD2 = 0.94

S12 = 0.792 = 0.6241

S22 = 0.942 = 0.8836

Hypothesis Formation

H0: σ1 = σ2

H1: σ1 ≠ σ 2

Test Stastistics

F =S12/S22

Critical Region

Reject H0 in favor of alternative if F test statistic lesser than the critical value of F critical value or lesser than -F critical value.

i.e F-test statistic > critical value of F OR F-test statistic < critical value of -F

Critical value of F at 0.05 Significance Level for two tail test

Df1 = N1 - 1 = 61 - 1 = 60

Df2 = N1 - 1 = 17 - 1 = 16

Critical value of F with df 8 and alpha 0.05 = F0.05/2,60,16 = 2.45

Computation

F-Statistic = 0.6241/0.8836

    = 0.71

Decision

As F statistic is neither greater than 2.45 nor smaller than -2.45 so we can not reject null hypothesis. P-value can't be determine in this manually however it can be said that it will be at least greater than the tolerance level of 0.05.

   Related Questions in Basic Statistics

  • Q : Explain Service times Service times: A)

    Service times:A) In most cases, servicing a request takes a “short” time, but in a few occasions requests take much longer.B) The probability of completing a service request by time t, is independent of how much tim

    		•
  • Q : Variance and standard error A hospital

    A hospital treated 412 skin cancer patients over a year. Of these, 197 were female. Give the point estimate of the proportion of females seeking treatment for skin cancer. Give estimates of the

    		•
  • Q : Calculate the p- value Medical tests

    Medical tests were conducted to learn about drug-resistant tuberculosis. Of 284 cases tested in New Jersey, 18 were found to be drug- resistant. Of 536 cases tested in Texas, 10 were found to be drugresistant. Do these data indicate that New Jersey has a statisti

    		•
  • Q : State the hypotheses At Western

    At Western University the historical mean of scholarship examination score for freshman applications is 900. Population standard deviation is assumed to be known as 180. Each year, the assistant dean uses a sample of applications to determine whether the mean ex

    		•
  • Q : Model Checking Approach Model Checking

    Model Checking Approach: • Specify program model and exhaustively evaluate that model against a speci?cation        –Check that properties hold   

  • Q : Computers playing games How Computers

    How Computers playing games can be categorized according to different dimensions?

    		•
  • Q : OIL I need to product when oil will

    I need to product when oil will finish time (by years) for 6 countries if the keep their production (per day) in the same level. So, the 6 countries have fixed reserves and production 1. statistics for Bahrain Crude oil reserves (million barrels) = 124.6 be careful in million Crude oil producti

    		•
  • Q : Define Service Demand Law

    Service Demand Law:• Dk = SKVK, Average time spent by a typical request obtaining service from resource k• DK = (ρk/X

    		•
  • Q : Problems on ANOVA We are going to

    We are going to simulate an experiment where we are trying to see whether any of the four automated systems (labeled A, B, C, and D) that we use to produce our root beer result in a different specific gravity than any of the other systems. For this example, we would l

    		•
  • Q : FIN512 Entrepreneurial Finance Chapter

      Chapter 6: Discussion Question: #4 p. 223  It is usually easier to forecast sales for a seasoned firm contrast to an early-stage venture because an early-stage venture has limited access to bank credit lines, sho

    		•