Form a Conclusion About Statistical Significance

question 52

Essay

Form a conclusion about statistical significance. Do not make any formal calculations. Either use the results provided or make subjective judgments about the results.
Last year, the average math SAT score for students at one school was 475. The headmaster
introduced new teaching methods hoping to improve scores. This year, the mean math SAT
score for a sample of students was 481. Is there statistically significant evidence that the new
teaching method is effective? If the teaching method had no effect, there would be roughly a 3
in 10 chance of seeing such an increase. Does the result have statistical significance? Why or
why not? Does the result have practical significance?

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Definitions:

Industry Life Cycle

The Industry Life Cycle describes the stages of growth and development that an industry undergoes, beginning with its introduction, growth, maturity, and eventual decline.

Start-up

A young company founded to develop a unique product or service, bring it to market, and make it viable and sustainable.

Consolidation

Consolidation is the process of combining multiple financial statements from different subsidiaries or related companies into a single financial statement of the parent company.

Return

The financial outcome of an investment over an agreed-upon time, stated as a portion of the investment's cost price.