Because of massive cutbacks in transfer payments to the provinces, provincial governments are in a quandary over how to maintain a high standard in health care. Given the sensitive nature of the issue, the provinces have set up independant commissions to study the issue. A task force in Alberta has suggested that more "community health clinics", run primarily by community health nurses, be set up, as opposed to "medi clinics", run primarily by doctors. The task force claims that the average cost per visit will be significantly less if the suggestion is adopted. To substantiate the claim, the task force provides the following data from a recent study:

Medi-Clinics CH Clinics

Sample Size 35 visits 40 visits

$25.00 $18.00
Standard Deviation $8.00 $6.00

At a 0.05 level of significance, test the claim of the task force

Null Hypothesis: H0: M 1= M 2 (There is no difference between the means)
Alternative Hypothesis: H1: M 1 > M 2 (Medi clinics have higher average cost)

Compute a 95% confidence interval for the difference in mean scores
( 0.05 level of significance= 1-0.05=0.95=95% confidence interval)

Hypothesized ...

Solution Summary

The solution tests a hypothesis for difference between means. A hypothesis-testing procedure is used for testing the difference in the average cost of "community health clinics", run primarily by community health nurses, and "medi clinics" run primarily by doctors.

Consider the seven steps of hypothesistesting. The final step in the hypothesis-testing process involves deciding whether to reject the null hypothesis. Assuming the null hypothesis is not rejected, what is the differencebetween accepting the null hypothesis and failing to reject it? Explain your reasoning.

Please help understand these questions:
1) What is the differencebetweenhypothesis and theory? If there is a differencebetween the two, what comes first - hypothesis or theory?
2) Why is it important to test a hypothesis? Give the rationale. Can we conduct research without hypothesistesting? Can you think of an example

I don't understand the formulas and rationales for the attached. I also don't have the correct version of excel to use the tool pack I need so I am doing everything manually. I am doing the work on my own but want to make sure it is somewhat correct prior to turning in. Any help would be appreciated. Thank you.

Explain the differencebetweentesting a single mean and testing the differencebetween two means.
What two assumptions must be met when one is using z test to test differences between two means?
When can the sample standard deviations s1 and s2 be used in place of the population standard deviations σ1 and σ2 ?

You are given the following data. Test the claim that there is a difference in the means of the two groups. Use = 0.01.
Group A Group B
x1 = 5 x2 = 7
s1 = 12 s2 = 18
n1 = 63 n2 = 86
· State the null and alternate hypotheses
· Determine which test statistic applies, and calculat

1) For any hypothesis test, if the value of a parameter being tested falls outside the confidence interval for the same level of a, the correct decision is to reject the null hypothesis. Is this True or False?
2) Irrespective of whether a two-tail or one-tail test is being conducted in order to compare two population means, t

State a relevant and useful "Two Population" hypothesis both in Words and statistical language for each pair of the population. This Hypothesis should compare the meansbetween each pair of these populations. For 3 populations you will have 3 pairs to compare.

An ANOVA test was conducted with respect to the population mean. The null hypothesis was rejected. This indicates
1. There were too many degrees of freedom.
2. There is no differencebetween the population means.
3. There is a differencebetween at least two population means.
4. A larger sample should be selected.
5. None o