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Eco Exam Example

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Multiple Choice
Answer the next two questions based on the following: A water utility manager worried that demand has changed from its former 110 million gallons monthly average samples the most recent 60 months (millions of gallons/month).
TEST OF MU = 110.00 VS MU NOT = 110.00

N MEAN STDEV SE MEAN T P VALUE
DEMAND 60 117.70 14.42 1.86 4.14 0.0001
1. A test is conducted at the ( = 0.01 level to determine if average monthly demand now is significantly different from 110 million gallons. We may conclude that a. p > ( and therefore reject H0 b. p < ( and therefore reject H0 c. p < ( and therefore cannot reject H0 d. p > ( and therefore cannot reject H0 e. Insufficient information provided to reach a conclusion

2. For this large sample, we are 95 percent confident monthly water demand now averages between approximately a. 114 and 121 million gallons b. 103 and 132 million gallons c. 115 and 122 million gallons d. 116 and 120 million gallons e. None of the above

Answer the next four questions based on the following case and statistical output: A random sample of n = 68 Orlando apartments is collected to tests if the mean price is significantly different from $650.
Test of mu = 650 vs mu not = 650

Variable N Mean StDev SE Mean 95.0% CI T P
Apt.rent 68 616.1 116.7 14.1 ( 587.9, 644.4) -2.39 0.019
3. The null and alternative hypotheses for this test on mean apartment rent are: a. b. c. d. e. H0: ( = $650 H0: ( = $650 H0: ( = $650 H0: ( > $650 H0: ( < $650 HA: ( > $650 HA: ( $650 HA: ( < $650 HA: ( < $650 HA: ( > $650

4. According to the printout, the mean apartment rent for this sample is how many standard errors below $650 a. is

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