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1. A company is deciding whether to renew its ad buy with a local TV station. It will renew the ad if a 2-sided hypothesis
1. A company is deciding whether to renew its ad buy with a local TV station. It will renew the ad if a 2-sided hypothesis test at the 10% level concludes that more than 19% of the local residents remember the ad. They decide to test this by contacting 265 randomly selected local residents. Sixty (60) of the 265 remember the ad. a. Conduct by hand the requested hypothesis test based on this sample using the normal approximation. (That is, write the hypotheses, compute the test statistic by hand then use Minitab (probability distribution plot or calculator) to get the p-value. Remember, these by hand calculations do not need to be in your paper.) Confirm your test results using the 1-proportion function in Minitab. Report your conclusions, stated in terms of the data and the sampling scenario. INCLUDE STEPS FOR HOW TO GET THIS IN MINITAB. b. The station advocates that the decision be made based on a 1-sided hypothesis test using the normal approximation at the 10% level using this sample. Why? (Hint: If you conduct the appropriate 1-sided test based on this sample, what will the p-value and test conclusion be? Confirm your answer with Minitab by conducting this 1-sided test.) INCLUDE STEPS FOR HOW TO GET THIS IN MINITAB. 2. As Quality Control officer for the Maui Onion Potato Chips division of the Tasty Hawaiian Snacks Co., we decide to test whether our chip bagger is correctly bagging our 28.3 gram (1 ounce) snack bags. We randomly sample 66 bags from the production line. The weights of the bags (gms) are recorded in the MauiOnionChips dataset. a. A 2-sided hypothesis test will be used since significant variation in either direction from the correct bagging weight is a concern for the business. What are the concerns associated with significant variation in the bagging weights? b. Use Minitab to conduct a 2-sided hypothesis test at the 20% level based on our sample. Report your conclusion, stated in terms of the data and the question asked. INCLUDE STEPS FOR HOW TO GET THIS IN MINITAB. c. Use Minitab to compute a 5-number summary and to draw a boxplot of this data. Based on these, what issues do we see with our hypothesis test? INCLUDE STEPS FOR HOW TO GET THIS IN MINITAB
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