When 40 people used the Atkins diet for one year their mean
When 40 people used the Atkins diet for one year, their mean weight was -2.1 lbs (the negative number here indicating loss). Assume that the standard deviation of all such weight changes is 4.8 lbs and use a 0.05 significance level to test the claim that the mean weight change is less than zero.
What is(are) the critical value(s)?
Solution
Let n be number of people used the Atkins diet for one year = 40
mean weight (Xbar) = -2.1 (negative number indicates that loss)
standard deviation (sd) = 4.8
level of significance (alpha) = 0.05
We have to test the claim that,
H0 : mu = 0 Vs H1 : mu < 0
The test is one sided and left tailed.
The test statistic is,
Z = (Xbar - mu) / (sd/sqrt(n))
Z = (-2.1 - 0) / (4.8/sqrt(40))
Z = -2.7670
Now we have to find critical value :
Critical value by using EXCEL is,
=NORMSINV(probability)
where, probability = alpha
critical value = -1.645
Here t < critical value,
reject H0 at 5% level of significance.
Conclusion : the mean weight change is less than zero.

