Instructions
Scenario (Information repeated for deliverable 01, 03, and 04)
A major client of your company is interested in the salarydistributions of jobs in the state of Minnesota that range from $30,000to $200,000 per year. As a Business Analyst, your boss asks you toresearch and analyze the salary distributions. You are given a spreadsheet that contains the following information:
In prior engagements, you have already explained to your client aboutthe basic statistics and discussed the importance of constructingconfidence intervals for the population mean. Your client says that heremembers a little bit about hypothesis testing, but he is a littlefuzzy. He asks you to give him the full explanation of all steps in ahypothesis testing and wants your conclusion about a claim that theaverage salary for all jobs in the state of Minnesota is less than$75,000.
Background information on the Data
The data set in the spreadsheet consists of 364 records that youwill be analyzing from the Bureau of Labor Statistics. The data setcontains a listing of several jobs titles with yearly salaries rangingfrom approximately $30,000 to $200,000 for the state of Minnesota.
What to Submit
Your boss wants you to submit the spreadsheet with the completedcalculations. Your research and analysis should be present within theanswers provided on the worksheet. Deliverable 04 Worksheet
1. Describe the 8 steps in the process for hypothesis testing. Explain the decision criteria for
rejecting the null hypothesis for both the p-value method and the critical value method.
Answer and Explanation:
Step 1 – State the Null Hypothesis
Step 2 – State the Alternative Hypothesis
Step 3 – Construct the contingency table, in step 3, you can also write
set alpha
Step 4 – Collect Data
Step 5 – Calculate a test statistic
Step 6 – Construct Acceptance/Rejection rejoins
Step 7 – Based on Steps 5 & 6, draw a conclusion about HO Done
The remaining problems refer to the following scenario:
A claim is made that the average salary for all jobs in Minnesota is less than $75,000. You
are going to test the claim using 𝛼 = 0.05 and assume that your data is normally
distributed and the population standard deviation (𝜎) is not known.
2. Write the null and alternative hypotheses symbolically and identify which hypothesis is the
claim. Then identify if the test is left-tailed, right-tailed, or two-tailed and explain why.
Answer and Explanation:
3. Identify and explain which test statistic you will use for your hypothesis test: z or t? Find
the value of the test statistic.
Answer and Explanation:
Enter your step-by-step answer and explanations here.
4. What is the critical value? Describe the rejection region.
Answer and Explanation:
Enter your step-by-step answer and explanations here.
5. Using the critical value approach, should you reject the null hypothesis or not reject the
null hypothesis? Explain. After making your decision, restate it in non-technical terms and
make a conclusion about the original claim.
Answer and Explanation:
Enter your step-by-step answer and explanations here.
6. Calculate the p-value for this hypothesis test, and state the hypothesis conclusion based
on the p-value. Does this match your results from the critical value method?
Answer and Explanation:
Enter your step-by-step answer and explanations here.
Job Title
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Continuous Mining Machine Operators
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Cost Estimators
Crane and Tower Operators
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Credit Counselors
Criminal Justice and Law Enforcement Teachers, Postsecondary
Curators
Database Administrators
Dental Hygienists
Derrick Operators, Oil and Gas
Detectives and Criminal Investigators
Diagnostic Medical Sonographers
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Directors, Religious Activities and Education
Drafters, All Other
Economics Teachers, Postsecondary
Economists
Editors
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Education Administrators, Preschool and Childcare Center/Program
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Educational, Guidance, School, and Vocational Counselors
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Electrical and Electronics Drafters
Electrical and Electronics Engineering Technicians
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Electrical and Electronics Repairers, Commercial and Industrial Equipment
Electrical and Electronics Repairers, Powerhouse, Substation, and Relay
Electrical Engineers
Electrical Power-Line Installers and Repairers
Electricians
Electro-Mechanical Technicians
Electronics Engineers, Except Computer
Elementary School Teachers, Except Special Education
Elevator Installers and Repairers
Embalmers
Emergency Management Directors
Engineering Technicians, Except Drafters, All Other
English Language and Literature Teachers, Postsecondary
Environmental Engineering Technicians
Environmental Engineers
Environmental Science and Protection Technicians, Including Health
Environmental Science Teachers, Postsecondary
Environmental Scientists and Specialists, Including Health
Epidemiologists
Executive Secretaries and Executive Administrative Assistants
Exercise Physiologists
Explosives Workers, Ordnance Handling Experts, and Blasters
Extruding, Forming, Pressing, and Compacting Machine Setters, Operators, and Tenders
Farm and Home Management Advisors
Film and Video Editors
Financial Analysts
Financial Clerks, All Other
Financial Examiners
Financial Managers
Financial Specialists, All Other
Fire Inspectors and Investigators
Firefighters
First-Line Supervisors of Construction Trades and Extraction Workers
First-Line Supervisors of Correctional Officers
First-Line Supervisors of Farming, Fishing, and Forestry Workers
First-Line Supervisors of Fire Fighting and Prevention Workers
First-Line Supervisors of Helpers, Laborers, and Material Movers, Hand
First-Line Supervisors of Landscaping, Lawn Service, and Groundskeeping Workers
First-Line Supervisors of Mechanics, Installers, and Repairers
First-Line Supervisors of Non-Retail Sales Workers
First-Line Supervisors of Office and Administrative Support Workers
First-Line Supervisors of Police and Detectives
First-Line Supervisors of Production and Operating Workers
First-Line Supervisors of Protective Service Workers, All Other
First-Line Supervisors of Transportation and Material-Moving Machine and Vehicle Operators
Fish and Game Wardens
Food Service Managers
Foreign Language and Literature Teachers, Postsecondary
Forensic Science Technicians
Forest and Conservation Technicians
Foresters
Forestry and Conservation Science Teachers, Postsecondary
Fundraisers
Funeral Service Managers
Gaming Supervisors
Gas Compressor and Gas Pumping Station Operators
Gas Plant Operators
General and Operations Managers
Geography Teachers, Postsecondary
Geological and Petroleum Technicians
Geoscientists, Except Hydrologists and Geographers
Health and Safety Engineers, Except Mining Safety Engineers and Inspectors
Health Diagnosing and Treating Practitioners, All Other
Health Educators
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Health Technologists and Technicians, All Other
Healthcare Practitioners and Technical Occupations
Healthcare Social Workers
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Information Security Analysts
Installation, Maintenance, and Repair Occupations
Instructional Coordinators
Insurance Appraisers, Auto Damage
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Kindergarten Teachers, Except Special Education
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Landscape Architects
Lawyers
Layout Workers, Metal and Plastic
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Legal Support Workers, All Other
Librarians
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Loading Machine Operators, Underground Mining
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Optometrists
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Special Education Teachers, Middle School
Special Education Teachers, Secondary School
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Stationary Engineers and Boiler Operators
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Technical Writers
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Tire Builders
Tool and Die Makers
Training and Development Managers
Training and Development Specialists
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Transportation, Storage, and Distribution Managers
Urban and Regional Planners
Veterinarians
Water and Wastewater Treatment Plant and System Operators
Web Developers
Wholesale and Retail Buyers, Except Farm Products
Writers and Authors
Zoologists and Wildlife Biologists
Salary
70500
102880
117190
96180
63940
104130
51740
56140
115220
74580
42060
54140
87390
124540
52480
51410
59800
115670
57720
52870
86430
81000
62210
73850
73870
60730
92680
78700
45440
93900
96590
97230
47320
99000
76310
71040
57260
75940
64880
67980
119810
62290
32280
63890
59630
69050
source: http://www.bls.gov/
63430
40910
72120
47660
87200
45460
54920
50360
96330
76620
58140
86820
91430
66030
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36610
66710
104420
43160
85310
43790
37190
121570
67210
71780
121310
137140
81640
95500
112050
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92960
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89290
90600
53680
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62280
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87690
58590
49620
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84290
42540
91930
49590
54280
66430
72920
58120
101240
60990
46280
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90080
57720
82590
32220
62720
70130
124190
82530
39180
70730
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53600
46970
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88590
80,660
74490
112430
61460
55460
82720
55930
100480
45700
97360
45990
66810
70380
66080
76990
62010
58140
55850
51870
68960
140920
42830
82900
59800
56320
78830
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62840
41270
63040
71960
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74600
70580
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82410
62380
122260
55600
91510
78880
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113030
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52370
46580
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66630
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56930
93920
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41970
58950
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54680
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63420
