Purchase Solution

Hypothesis Testing of Means

Not what you're looking for?

Ask Custom Question

The Non-Profit Times conducted a random sample of 126 U.S. non-profit companies at the beginning of 2005. The results reported that the average salary of an executive director of a nonprofit was $92,411 per year with a sample standard deviation of $25,326. A research team from a competing newspaper, which was skeptical of these results, conducted a survey of its own with the same size sample of companies and obtained a mean salary of $87,566 for executive directors (with approx. the same standard deviation as the non-profit times sample).

1)Set up the appropriate null and alternative hypothesis for testing whether the original sample overestimated the average executive director annual salary.

2)Now test the competing newspaper's view that the original sample overestimated the average executive director annual salary. Use an estimation (total) error of 5 percent.

Purchase this Solution

Solution Summary

Solution describes Null and Alternate hypothesis for testing whether the original sample overestimated the average executive director annual salary. It also tests the competing newspaper's view that the original sample overestimated the average executive director annual salary

Solution Preview

Please refer attached file for complete solution. Work done with the help of equation writer is missing here.

Solution:

1.)Set up the appropriate null and alternative hypothesis for testing whether the original sample overestimated the average executive director annual salary.
Ho: There is not difference in salary
H1: original newspaper overestimated average executive's ...

Solution provided by:
Education
  • BEng (Hons) , Birla Institute of Technology and Science, India
  • MSc (Hons) , Birla Institute of Technology and Science, India
Recent Feedback
  • "Thank you"
  • "Really great step by step solution"
  • "I had tried another service before Brain Mass and they pale in comparison. This was perfect."
  • "Thanks Again! This is totally a great service!"
  • "Thank you so much for your help!"
Purchase this Solution


Free BrainMass Quizzes
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.

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

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

Terms and Definitions for Statistics

This quiz covers basic terms and definitions of statistics.