## Question

###### The development office and the registrar of your university have provided you with anonymous matches of...

The development office and the registrar of your university have provided you with anonymous matches of starting salaries and GPAs for 108 graduating economics majors. Your sample contains a variety of jobs, from church pastor to stockbroker. a) The average starting salary for the 108 students was $38,584 with a sample standard deviation of $7,500. The mean starting salary for economics majors from other universities is $36,000. At a 5% significance level, is there statistical evidence showing that the mean for your university is different from the other universities' mean? b) Compute the p-value from the previous test. What does it mean? c) Construct a 95% confidence interval for the starting salary of all economics majors at your university. How do you interpret this interval? d) You wonder if it pays to get good grades by calculating the average salary for economics majors who graduated with a cumulative GPA of B+ or better, and those who had a Bor worse. The data is as shown in the accompanying table. Cumulative GPA Average Earning Y Sample Standard Dev. s, B+ or better $39,900 $8,300 59 B or worse $37,000 $6,100 49 Using a 5% significance level test, is there statistical evidence showing that students with high GPA have a higher starting salary than students with low GPA? e) Construct a 95% confidence interval for the difference between the starting salaries of high and low GPA students. How do you interpret this interval?

## Answers

a)

There is statistical difference

b)

p-value = 0.0005

it means that there is 0.0005 probability of observing this sample or extreme than this when null hypothesis is true

c)

Please post rest parts again

Ho: u = 36000 Ha: u = 36000 This corresponds to a two-tailed test, for which a t-test for one mean, with unknown population standard deviation will be used. (2) Rejection Region Based on the information provided, the significance level is a = 0.05, and the critical value for a two- tailed test is te = 1.982. The rejection region for this two-tailed test is R={t: t > 1.982} (3) Test Statistics The t-statistic is computed as follows: t = X - MO s/n 38584 – 36000 7500/7108 = 3.58 (4) Decision about the null hypothesis = 1.982, it is then concluded that the null hypothesis is Since it is observed that t = 3.58 > t rejected. Using the P-value approach: The p-value is p= 0.0005, and since p = 0.0005 < 0.05, it is concluded that the null hypothesis is rejected. (5) Conclusion It is concluded that the null hypothesis Ho is rejected. Therefore, there is enough evidence to claim that the population mean u is different than 36000, at the 0.05 significance level.Confidence Interval The 95% confidence interval is 37153.338 <u < 40014.662.

#### Similar Solved Questions

1 answers

##### 3. Suppose there was no insurance for prescription drugs. Draw a demand and supply curve for...

3. Suppose there was no insurance for prescription drugs. Draw a demand and supply curve for the market for prescription drugs. Explain what would happen to prices and quantity transacted if the government decided that the market price was too high and imposed an effective price ceiling on prescript...

1 answers

##### Ideal Body Weight of 71 kg The ventilator tidal volume range is: Ideal Body weight of...

Ideal Body Weight of 71 kg The ventilator tidal volume range is: Ideal Body weight of 138 lb IBW is kg The ventilator tidal volume range is: Ideal Body Weight of 55 kg The ventilator tidal volume range is: Ideal Body weight of 133 lb BW is The ventilator tidal volume range is: kg The peak inspirator...

1 answers

##### Question 50 (1 point) What is the [H3O*] ip a solution that consists of 0.15 MC?...

Question 50 (1 point) What is the [H3O*] ip a solution that consists of 0.15 MC? N2Hglethylene diamine) and 0.35 C2N2H9CI? Къ 4.7 x 104 O1) 20x 103 M 2) 2.1 x 1010 M 3) 1.1 x 103M 4) 5.0x 10 11 M 5) 6.3x 109 M...

1 answers

##### Cost of Trade Credit What are the nominal and effective costs of trade credit under the...

Cost of Trade Credit What are the nominal and effective costs of trade credit under the credit terms of 1/20, net 35? Assume a 365-day year. Do not round intermediate calculations. Round your answers to two decimal places. Nominal cost of trade credit: % Effective cost of trade credit: %...

1 answers

##### Use the information in the figure to determine what happens to David's quantity demanded and consumer...

Use the information in the figure to determine what happens to David's quantity demanded and consumer surplus if price is equal to p = $3. Using the point drawing tool, indicate the market price and the quantity David demands at that price. Label this point 'e.' Carefully follow the inst...

1 answers

##### What are the original colors of the #"FeSO"_4# solution and of the #"FeCl"_3# solution?

What are the original colors of the #"FeSO"_4# solution and of the #"FeCl"_3# solution?...

1 answers

##### How do you find #(dy)/(dx)# given #y+y^3=x^2#?

How do you find #(dy)/(dx)# given #y+y^3=x^2#?...

1 answers

##### Final Semi 20182019 03 04.pdt - Adobe Acrobat Reader DC File Edit View Window Help Home...

Final Semi 20182019 03 04.pdt - Adobe Acrobat Reader DC File Edit View Window Help Home Tools ilovepdf merged (4). Final Sem 1 2018201... x Sign In (1 of 2) 125% Jo Share Search 'Crop Page (b) D. Export PDF Edit PDF A pump operates at 1200 rpm with blade thickness occupied 12 percent of the circ...

1 answers

##### Please show thevenins theorem to answer question, show full working out and neat handwriting 15 Ω...

please show thevenins theorem to answer question, show full working out and neat handwriting 15 Ω 30Ω 25 Ω 60 V 5Ω 10Ω In the DC circuit shown above, apply Thevenin's theorem or Kirchoff's loop current theory to calculate the current in and the voltage across th...

1 answers

##### What happened to the capital output ratio and capital labour ratio of the USA over the...

What happened to the capital output ratio and capital labour ratio of the USA over the last 20 years, why has this happened? (HINT: Productivity of Capital)...

1 answers

##### 7. Correcting for negative externalities - Taxes versus tradable permits Power stations emit sulfur dioxide as...

7. Correcting for negative externalities - Taxes versus tradable permits Power stations emit sulfur dioxide as a waste product. This generates a cost to society that is not paid for by the firm, therefore, pollution is a negative externality of power production Suppose the U.S. government wants to c...

1 answers

##### 1. Vaughn Co. sells $470,000 of 8% bonds on March 1, 2020. The bonds pay interest...

1. Vaughn Co. sells $470,000 of 8% bonds on March 1, 2020. The bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2023. The bonds yield 12%. Give entries through December 31, 2021. Prepare a bond amortization schedule using the effective-interest method for dis...

1 answers

##### Wo point charges of the same M between the charges has a m the angle α...

wo point charges of the same M between the charges has a m the angle α in the drawing 4.49 as the drawing shows. The electric field at the midpoint En. The field directly above the midpoint at point P has a magnitude Ep. The ratio of these two field magnitudes is ElEp7.48. Find...

1 answers

##### 1. Consider an asset with a beta of 1.2, a risk-free rate of 4.4%, and a...

1. Consider an asset with a beta of 1.2, a risk-free rate of 4.4%, and a market return of 12.4% What is the reward to risk ratio? in %...

1 answers

##### Filer Manufacturing has 10.1 million shares of common stock outstanding. The current share price is $53,...

Filer Manufacturing has 10.1 million shares of common stock outstanding. The current share price is $53, and the book value per share is $5. Filer Manufacturing also has two bond issues outstanding. The first bond issue has a face value of $90 million, has a 6 percent coupon, and sells for 90 percen...

1 answers

##### Please do 3.1 & not 3.2 HOMEWORK PROBLEMS 1 92 1 2 Sections 3.2 through 3.4:...

Please do 3.1 & not 3.2 HOMEWORK PROBLEMS 1 92 1 2 Sections 3.2 through 3.4: Node Mesh Analysis 4 A 3.1 3 2 152 Use node voltage analysis to find the voltages i and V% for the circuit of Figure P3.1 3.2 Using node voltage analysis, find the voltages l' and ½ for the circuit of Figu...

1 answers

##### Find the initial sped of the bullet, v1i The ballistic pendulum is a device used to...

Find the initial sped of the bullet, v1i The ballistic pendulum is a device used to measure the speed of a fast-moving projectile such a bullet. The bullet is fired into a large block of wood suspended from some light wires. The bullet is stopped by the block, and the entire system swings up to a...

1 answers

##### 8-16 A window with an Rsr-value of 0.18 receives 300 W/m2 of insolation. If the interior...

8-16 A window with an Rsr-value of 0.18 receives 300 W/m2 of insolation. If the interior of the building is at 20°C, what is the minimum outside temperature for which there is a benefit from passive solar heating?...