32. Consider a random sample of 100 households from a
middle-class neighborhood that was the recent focus
of an economic development study conducted by the
local government. Specifically, for each of the
100 households, information was gathered on each of
the following variables: family size, location of the
household within the neighborhood, an indication of
whether those surveyed owned or rented their home,
gross annual income of the first household wage
earner, gross annual income of the second household
wage earner (if applicable), monthly home mortgage
or rent payment, average monthly expenditure on utilities,
and the total indebtedness (excluding the value of
a home mortgage) of the household. The data are in
the file P09_26.xlsx.
Test for the existence of a significant difference
between the mean indebtedness levels of the households
in the first (i.e., SW) and second (i.e., NW)
sectors of this community. Perform similar hypothesis
tests for the differences between the mean indebtedness
levels of households from all other pairs of locations
(i.e., first and third, first and fourth, second and
third, second and fourth, and third and fourth).
Summarize your findings.
Three problems of testing the difference of means of two samples are solved. The general procedure for the conduct of this test using M.S Excel is also provided.
Test for difference in mean using ANOVA and Chi Square
There are three hospitals in the Tulsa, Oklahoma, area. The following data show the number of outpatient surgeries performed at each hospital last week. At the .05 significance level, can we conclude there is a difference in the mean number of surgeries performed by hospital or by day of the week?
Day Number of Surgeries Performed
St. Luke's St. Vincent Mercy
Monday 14 18 24
Tuesday 20 24 14
Wednesday16 22 14
Thursday 18 20 22
Friday 20 28 24
For many years TV executives used the guideline that 30 percent of the audiences were watching each of the prime-time networks and 10 percent were watching cable stations on a weekday night. A random sample of 500 viewers in the Tampa-St. Petersburg, Florida, and area last Monday night showed that 165 homes were tuned in to the ABC affiliate, 140 to the CBS affiliate, 125 to the NBC affiliate, and the remainders were viewing a cable station. At the .05 significance level, can we conclude that the guideline is still reasonable?View Full Posting Details