Question

A researcher is asked to determine whether or not a productivity objective (in dollars) of better than $75,000 per employee is possible. A productivity test is done involving 20 employees. What conclusion would you reach

Answer 1

Answer:

Hence the null hypothesis is not rejected.

We conclude that productivity objective (in dollars) is not better than $75,000 per employee.

Explanation:

Single sample t-test ( upper tail test)

$H_0: \mu = 75000\\H_1: \mu > 75000$

N=20

Mean =75500

Sd=18968.117

$t = \frac { (\bar x - \mu)} {\frac {s} {\sqrt{n}}}\\\\t = \frac{(75500-75000)}{\frac{18968.117}{\sqrt{20}}}\\t=0.1179$

DF= 20-1=19

Table value of t at 0.05 level of significance =1.7291

Calculated t=0.1179 < table value 1.7291

The null hypothesis is not rejected

We conclude that productivity objective (in dollars) is not better than $75,000 per employee