A University Wants to Know If the Average Salary of Its

question 58

Essay

A university wants to know if the average salary of its graduates has increased since 2010.The average salary of graduates prior to 2010 was $48,000.Since 2010,the university surveyed 256 graduates and found an average salary of $48,750.Assume that the standard deviation of all graduates' salaries is $7,000.
a.Specify the null and alternative hypotheses to determine whether the average salary of graduates has increased.
b.Calculate the value of the test statistic and the critical value at a 5% significance level.
c.At the 5% significance level,can you conclude that salaries have increased? Explain.

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Definitions:

Car Colour

The specific hue or shade of paint chosen or used to finish the exterior surface of an automobile.

Independent

Not influenced or controlled by others in matters of opinion, conduct, etc.; thinking or acting for oneself.

Treatment

In experimental design, the condition applied to subjects or objects to assess its effect on some outcome.

Reaction

The process of responding to a stimulus or an action, seen in various contexts including chemistry, physiology, and psychology.