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A manager wants to see if it worth going back for a MBA degree. They randomly sample 18 managers' salaries before and after undertaking a
A manager wants to see if it worth going back for a MBA degree. They randomly sample 18 managers' salaries before and after undertaking a MBA degree and record their salaries in thousands of dollars. Assume Salaries are normally distributed. Test the claim that the MBA degree, on average, increases a manager's salary. Use a 10% level of significance.
t-Test: Paired Two Sample for Means | ||
New Salary | Old Salary | |
Mean | 61.878 | 56.999 |
Variance | 177.5551 | 115.8012 |
Observations | 18 | 18 |
Pearson Correlation | 0.7464 | |
Hypothesized Mean Difference | 0 | |
df | 17 | |
t Stat | 2.9870 | |
P(T<=t) one-tail | 0.0024 | |
t Critical one-tail | 1.3334 | |
P(T<=t) two-tail | 0.0048 | |
t Critical two-tail | 1.7396 |
The hypotheses for this problem are:
H0: D = 0
H1: D > 0
What is the correct test statistic?
2.9870 | |
1.3334 | |
1.7396 | |
0.7464 |
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