Hypothesis Testing involving a population proportion
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Example
A medium sized university in the US introduces a new lunch facility on
campus on a trial basis. The university operates the Lunch facility for a few
months and then decides to survey the student body. Based on the survey,
university would make this facility a permanent fixture or do away with it.
Specifically, if more than or equal to 70% of the student body approves of it
then the facility would be made permanent else it would shut down.
The university conducts a survey with 750 randomly selected students on
campus and finds that 510 of these students (or 68% of the sampled
students) approve of the new facility and the remaining 240 students or 32%
students do not approve of it.
Based on the criteria set by University should the facility be made
permanent?
Hypothesis Testing involving a population proportion
Population Proportion rather than the Population Mean.
Hypothesis Testing involving a population proportion
Population Proportion rather than the Population Mean.
The facility would be made permanent if ≥ 70% of entire
student body approves of it.
Hypothesis Testing involving a population proportion
Population Proportion rather than the Population Mean.
The facility would be made permanent if ≥ 70% of entire
student body approves of it.
The University has a sample of 750 responses.
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Step 2 : Calculate the test-statistic …….. the z-statistic
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Step 2 : Calculate the test-statistic …….. the z-statistic
z-statistic
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Step 2 : Calculate the test-statistic …….. the z-statistic
z-statistic
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Step 2 : Calculate the test-statistic …….. the z-statistic
z-statistic
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Step 2 : Calculate the test-statistic …….. the z-statistic
z-statistic
Hypothesis Testing involving a population proportion
Step 1 : Formulate Hypothesis
H0: p ≥ 0.70
HA: p < 0.70
Step 2 : Calculate the test-statistic …….. the z-statistic
z-statistic = -1.1952
The following conditions should be met…
and
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic
[single tail test, rejection region on the L.H.S.]
rejection region α
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
rejection region α
α = 0.05
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
rejection region α
α = 0.05
z-cutoff = -|NORM.INV(α, 0, 1)|
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
rejection region α
z-cutoff = +|NORM.INV(α, 0, 1)|
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
rejection region α
z-cutoff = +|NORM.INV(α, 0, 1)|
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
rejection region α
z-cutoff = +|NORM.INV(α, 0, 1)|
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
rejection region α/2 rejection region α/2
-|NORM.INV(α/2, 0, 1)| +|NORM.INV(α/2, 0, 1)|
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
rejection region α/2 rejection region α/2
-|NORM.INV(α/2, 0, 1)| +|NORM.INV(α/2, 0, 1)|
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
Step 4 : Check whether z-statistic falls in
the rejection region
rejection region α
α = 0.05
z-cutoff = -1.6449
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
Step 4 : Check whether z-statistic falls in
the rejection region
rejection region α
α = 0.05
-1.1952
z-cutoff = -1.6449
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
Step 4 : Check whether z-statistic falls in
the rejection region
rejection region α Do not reject Null hypothesis
α = 0.05
-1.1952
z-cutoff = -1.6449
Hypothesis Testing involving a population proportion
Step 3 : Cutoff values for the z-statistic α = 0.05
[single tail test, rejection region on the L.H.S.]
Step 4 : Check whether z-statistic falls in
the rejection region
rejection region α Do not reject Null hypothesis
α = 0.05 The lunch facility should be
-1.1952
made permanent
z-cutoff = -1.6449