Purchase Solution

Hypothesis Testing of Moving Production to Mexico

Not what you're looking for?

Ask Custom Question

A big multinational corporation based in Toronto recently moved it's production facilities to Mexico. When the corporation was in Toronto, it had an older, experienced labour force with a mean age of 45 years. Now that it has moved to Mexico, the company wishes to find out if the average age of the workforce has declined. A sample of 35 employees is selected. The average age is found to be 40 years, with a standard deviation of five years. With a 0.05 level of significance, can we conclude that the mean age of the workforce has declined?

Purchase this Solution

Solution Summary

The hypothesis that the mean age of the workforce has declined is tested.

Solution Preview

Null Hypothesis: H0: M 1= M 2 Mean age of employees at Toronto and Mexico are the same
Alternative Hypothesis: H1: M 2 less than equal to M 1 Mean age of employees at Toronto and Mexico are different

Mean= M = 45 years =(Mean age of ...

Purchase this Solution

Free BrainMass Quizzes
Terms and Definitions for Statistics

This quiz covers basic terms and definitions of statistics.

Know Your Statistical Concepts

Each question is a choice-summary multiple choice question that presents you with a statistical concept and then 4 numbered statements. You must decide which (if any) of the numbered statements is/are true as they relate to the statistical concept.

Measures of Central Tendency

This quiz evaluates the students understanding of the measures of central tendency seen in statistics. This quiz is specifically designed to incorporate the measures of central tendency as they relate to psychological research.

Measures of Central Tendency

Tests knowledge of the three main measures of central tendency, including some simple calculation questions.