A sample of 383 employees from a company displays the salaries. You have to determine if the mean salary in the company is of 39,000 as they advertise. You know standard deviation of salaries is 15,000. You will have to perform a hypothesis test for the mean.
Part A. In the file “Excel A3_2 Part A”:
1) State the null and alternative hypotheses
2) Determine the test statistic and calculate its value
3) Obtain the p-value
4) Use the rejection rule for the p-value to determine if you reject H0 with a significance level of 5%
5) Write down a short conclusion about the salaries in the company.
Part B. As part of the study, you are required to determine If more that 75% of all employees have salaries above $25,000. In order to determine this you will have to perform a hypothesis test for the proportion of a population. In the same Excel file (A3_2) in the spreadsheet named Part B:
6) State the null and alternative hypotheses
7) Determine the test statistic and calculate its value
8) Obtain the p-value
9) Use the rejection rule for the p-value to determine if you reject H0 with a significance level of 5%
10) Write down a short conclusion about the salaries in the company.
Part C. In a no more than two slides in Power Point summarize your findings.