3 Suppose that someone claims that hte median salary fo rind

3. Suppose that someone claims that hte median salary fo rindividuals in New Jersey with a business degeree is at $85,000 or more. you feel that this is too high, so you collect a sample of 160 such individuals and find that 95 of them earn less than $85,000 and the other 65 earn more than that.

Using a significance level of 0.05, what is/are the critical value(s) for this hypthesis test.

-1.96 and +1.96

-1.64 and +1.64

-1.64

+1.64

4. Contiuing with the previous question (about NJ individuals with business degrees,) what is the sample value of the test statistic?

-2.29

-1.64

0.37

4.03

5. Using the information from the previous two questions, would we reject the individual\'s claim?

We do not know the size of the sample, so it is not possible to answer this question.

No, becuase the p-value is greater than 0.05.

Yes, because the p-value is greater than 0.05

Yes, because the sample value falls into the rejection region.

Solution

For 95%

-1.96 and +1.96

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