Statistical Significance and Probablility
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Your car gets 29 miles per gallon, one day you see your mileage average is 28 miles per gallon. Is this change statistically significantly and would you look for a reason or is it more of a variation attributed to chance?
Another day you see your mileage is 22 miles per gallon - Is this change statistically significantly and would you look for a reason or is it more of a variation attributed to chance?
How much of a decrease would you need to see before you thought it statistically significant?
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State the Null & Alternative Hypothesis for a test of significance:
A consumer group claims the amount of Iron in a health supplement capsule is less than the posted amount of 500 milligrams.
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P-Value & Dice: Use the table to test for bias against 6's, below shows probabliity of 6's in 100 tosses.
Number of 6's Probability
8 or fewer .006
10 or fewer .020
12 or fewer .052
In 100 tosses, 10 rolls are 6's. Is this result significant at the 0.05 level? What is the P-Value for this result?
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Solution Summary
This solution provides solutions to three statistical questions concerning significance testing and probability.
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Please see response attached (also presented below) Good luck with your continued studies and take care.
RESPONSE:
Q1a: Your car gets 29 miles per gallon, one day you see your mileage average is 28 miles per gallon. Is this change statistically significantly and would you look for a reason or is it more of a variation attributed to chance?
A1a: We can use the range as a quick and easy indication of significance,
Range = plus or minus 6 (not significant)
In other words, when the mileage deviated any more than 6 miles per gallon either way, we would have a reason to consider the variation as significant. Thus, 28 miles per gallon, a variation on only 1 mile per hour, would more than likely be attributed to ...
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