W6 Project Assignment “Project Week 6”Business StatisticsProject Week 6For these project assignments throughout the course you will need to reference the data in the ROI Excel spreadheet. Download

W6 Project Assignment “Project Week 6”

Business Statistics

Project Week 6

For these project assignments throughout the course you will need to reference the data in the ROI Excel spreadheet. Download it here.

You are doing hypothesis testing.  Make sure that you have all steps of hypothesis testing.

Using the ROI data set:

  1. For each of the 2 majors test the hypothesis at the 5% significance level:
    • The mean ‘Cost’ for a college is $160,000. Be sure to interpret your results.
    • List your givens – n, standard deviation, alpha…
    • Provide the formula you will use. Why are you using that formula?  How does it fit the situation?
    • Show how you have plugged in the numbers.
    • What is your computed test statistic?
    • Show the computation of the p value.
    • Will you reject or fail to reject the null hypothesis. Why?
  2. For Business versus Engineering majors conduct a two sample test of the hypothesis at the 10% significance level (assume the variances are not equal):
    • The average ’30-Year ROI’ for Business majors is less than for Engineering Majors.  Be sure to interpret your results.
    • Make sure to state your givens.
    • State your null and alternative hypotheses.
    • Show which formula you used.
    • Why did you reject or fail to reject your null hypothesis?

In a highlighted box, make sure that you are including your findings.  What do they mean in terms of ROI?  What hypotheses were rejected? What does that mean in terms of ROI?  What hypotheses failed to be rejected?  What does that mean in terms of ROI?

Grading Criteria AssignmentsMaximum PointsMeets or exceeds established assignment criteria40Demonstrates an understanding of lesson concepts20Clearly presents well-reasoned ideas and concepts30Uses proper mechanics, punctuation, sentence structure, and spelling10Total100