Statistics

A town official claims that the average vehicle in their area sells for more than the 40th percentile of your data set. Using the data, you obtained in week 1, as well as the summary statistics you found for the original data set (excluding the super car outlier), run a hypothesis test to determine if the claim can be supported.  Make sure you state all the important values, so your fellow classmates can use them to run a hypothesis test as well.  Use the descriptive statistics you found during Week 2 NOT the new SD you found during Week 4.  Because again, we are using the original 10 sample data set NOT a new smaller sample size.  Use alpha = .05 to test your claim. (Note: You will want to use the function =PERCENTILE.INC  in Excel to find the 40th percentile of your data set.  Hopefully this Excel function looks familiar to you from Week 2.) First determine if you are using a z or t-test and explain why. Then conduct a four-step hypothesis test including a sentence at the end justifying the support or lack of support for the claim and why you made that choice. I encourage you to review the Week 6 Hypothesis Testing PDF at the bottom of the discussion forum.  This will give you a step by step example on how to calculate and run a hypothesis test using Excel. I DO NOT recommend doing this by hand.  Let Excel do the heavy lifting for you. Instructions: Your initial post should be at least 150 words. Make sure you include your data set in your initial post as well.

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