Deliverable 4 - Hypothesis Tests Competency Given a real-life application, develop a hypothesis test for a population parameter and its interpretation. Instructions Scenario (information repeated for deliverable 01, 03, and 04) A major client of your company is interested in the salary distributions of jobs in the state of Minnesota that range from $30,000 to $200,000 per year. As a Business Analyst, your boss asks you to research and analyze the salary distributions. You are given a spreadsheet that contains the following information: · A listing of the jobs by title · The salary (in dollars) for each job In prior engagements, you have already explained to your client about the basic statistics and discussed the importance of constructing confidence intervals for the population mean. Your client says that he remembers a little bit about hypothesis testing, but he is a little fuzzy. He asks you to give him the full explanation of all steps in a hypothesis testing and wants your conclusion about a claim that the average salary for all jobs in the state of Minnesota is less than $74,500 and a second claim that the average salary for all jobs in the state of Minnesota is greater than $70,500. Background information on the Data The data set in the spreadsheet consists of 364 records that you will be analyzing from the Bureau of Labor Statistics. The data set contains a listing of several jobs titles with yearly salaries ranging from approximately $30,000 to $200,000 for the state of Minnesota. What to Submit Your boss wants you to submit the spreadsheet with the completed calculations, answers, and analysis. DataJob TitleSalaryAccountants and Auditors67190source: http://www.bls.gov/Actuaries97070Administrative Law Judges, Adjudicators, and Hearing Officers133840Calculations/ValuesFormulas/AnswersAdministrative Services Managers95180MeanAdult Basic and Secondary Education and Literacy Teachers and Instructors63940Standard DeviationAdvertising and Promotions Managers104130nAdvertising Sales Agents51740Aerospace Engineering and Operations Technicians56140Aerospace Engineers115220Agents and Business Managers of Artists, Performers, and Athletes74580Agricultural and Food Science Technicians42060Agricultural Inspectors54140Agricultural Sciences Teachers, Postsecondary87390Air Traffic Controllers114906Aircraft Cargo Handling Supervisors52480Aircraft Structure, Surfaces, Rigging, and Systems Assemblers51410Airfield Operations Specialists59800Airline Pilots, Copilots, and Flight Engineers115670Anthropologists and Archeologists55720Appraisers and Assessors of Real Estate52870Arbitrators, Mediators, and Conciliators86430Architects, Except Landscape and Naval81000Architectural and Civil Drafters62210Architecture and Engineering Occupations73850Architecture Teachers, Postsecondary73870Archivists76749Art Directors98924Art, Drama, and Music Teachers, Postsecondary78700Athletic Trainers45440Atmospheric and Space Scientists93900Atmospheric, Earth, Marine, and S.

1. Deliverable 4 - Hypothesis Tests
Competency
Given a real-life application, develop a hypothesis test for a
population parameter and its interpretation.
Instructions
Scenario (information repeated for deliverable 01, 03, and 04)
A major client of your company is interested in the salary
distributions of jobs in the state of Minnesota that range from
$30,000 to $200,000 per year. As a Business Analyst, your boss
asks you to research and analyze the salary distributions. You
are given a spreadsheet
that contains the following information:
· A listing of the jobs by title
· The salary (in dollars) for each job
In prior engagements, you have already explained to your client
about the basic statistics and discussed the importance of
constructing confidence intervals for the population mean. Your
client says that he remembers a little bit about hypothesis
testing, but he is a little fuzzy. He asks you to give him the full
explanation of all steps in a hypothesis testing and wants your
conclusion about a claim that the average salary for all jobs in
the state of Minnesota is less than $74,500 and a second claim
that the average salary for all jobs in the state of Minnesota is
greater than $70,500.
Background information on the Data
The data set in the spreadsheet consists of 364 records that you
will be analyzing from the Bureau of Labor Statistics. The data
set contains a listing of several jobs titles with yearly salaries
ranging from approximately $30,000 to $200,000 for the state of
Minnesota.
What to Submit
Your boss wants you to submit the spreadsheet with the
completed calculations, answers, and analysis.

2. DataJob TitleSalaryAccountants and Auditors67190source:
http://www.bls.gov/Actuaries97070Administrative Law Judges,
Adjudicators, and Hearing
Officers133840Calculations/ValuesFormulas/AnswersAdministr
ative Services Managers95180MeanAdult Basic and Secondary
Education and Literacy Teachers and Instructors63940Standard
DeviationAdvertising and Promotions
Managers104130nAdvertising Sales Agents51740Aerospace
Engineering and Operations Technicians56140Aerospace
Engineers115220Agents and Business Managers of Artists,
Performers, and Athletes74580Agricultural and Food Science
Technicians42060Agricultural Inspectors54140Agricultural
Sciences Teachers, Postsecondary87390Air Traffic
Controllers114906Aircraft Cargo Handling
Supervisors52480Aircraft Structure, Surfaces, Rigging, and
Systems Assemblers51410Airfield Operations
Specialists59800Airline Pilots, Copilots, and Flight
Engineers115670Anthropologists and
Archeologists55720Appraisers and Assessors of Real
Estate52870Arbitrators, Mediators, and
Conciliators86430Architects, Except Landscape and
Naval81000Architectural and Civil Drafters62210Architecture
and Engineering Occupations73850Architecture Teachers,
Postsecondary73870Archivists76749Art Directors98924Art,
Drama, and Music Teachers, Postsecondary78700Athletic
Trainers45440Atmospheric and Space
Scientists93900Atmospheric, Earth, Marine, and Space Sciences
Teachers, Postsecondary96590Audiologists97230Avionics
Technicians47320Biomedical
Engineers99000Boilermakers76310Broadcast News
Analysts71040Brokerage Clerks57260Budget
Analysts75940Business and Financial Operations
Occupations64880Business Operations Specialists, All
Other67980Business Teachers, Postsecondary119810Buyers and
Purchasing Agents, Farm Products62290Camera and

3. Photographic Equipment Repairers32280Captains, Mates, and
Pilots of Water Vessels63890Cardiovascular Technologists and
Technicians59630Career/Technical Education Teachers, Middle
School69050Career/Technical Education Teachers, Secondary
School63430Cargo and Freight Agents40910Cartographers and
Photogrammetrists72120Chefs and Head Cooks47660Chemical
Engineers87200Chemical Equipment Operators and
Tenders45460Chemical Plant and System
Operators54920Chemical Technicians50360Chemistry Teachers,
Postsecondary96330Chemists59630Child, Family, and School
Social Workers58140Chiropractors86820Civil
Engineers91430Claims Adjusters, Examiners, and
Investigators66030Clinical, Counseling, and School
Psychologists76150Coil Winders, Tapers, and
Finishers36610Commercial and Industrial
Designers66710Commercial Pilots130059Communications
Equipment Operators, All Other43160Communications
Teachers, Postsecondary85310Community and Social Service
Occupations43790Community Health
Workers37190Compensation and Benefits
Managers121570Compensation, Benefits, and Job Analysis
Specialists67210Compliance Officers67637Computer and
Information Research Scientists121310Computer and
Information Systems Managers137140Computer and
Mathematical Occupations81640Computer Hardware
Engineers95500Computer Network Architects112050Computer
Network Support Specialists70940Computer Occupations, All
Other92960Computer Programmers84280Computer Science
Teachers, Postsecondary89290Computer Systems
Analysts90600Computer User Support
Specialists53680Conservation Scientists67540Construction and
Building Inspectors64150Construction
Managers99150Continuous Mining Machine
Operators55330Control and Valve Installers and Repairers,
Except Mechanical Door64960Conveyor Operators and
Tenders35110Cost Estimators69480Crane and Tower

4. Operators53980Credit Analysts72870Credit
Counselors46720Criminal Justice and Law Enforcement
Teachers, Postsecondary66980Curators66230Database
Administrators91730Dental Hygienists71930Derrick Operators,
Oil and Gas38120Detectives and Criminal
Investigators90890Diagnostic Medical
Sonographers74340Dietitians and Nutritionists60370Directors,
Religious Activities and Education43690Drafters, All
Other51790Economics Teachers,
Postsecondary137920Economists106280Editors58820Education
Administrators, All Other79960Education Administrators,
Elementary and Secondary School103570Education
Administrators, Postsecondary110110Education Administrators,
Preschool and Childcare Center/Program81590Education
Teachers, Postsecondary65020Education, Training, and Library
Occupations47920Educational, Guidance, School, and
Vocational Counselors56550Electric Motor, Power Tool, and
Related Repairers63800Electrical and Electronics
Drafters69010Electrical and Electronics Engineering
Technicians68060Electrical and Electronics Installers and
Repairers, Transportation Equipment54060Electrical and
Electronics Repairers, Commercial and Industrial
Equipment55970Electrical and Electronics Repairers,
Powerhouse, Substation, and Relay81590Electrical
Engineers91870Electrical Power-Line Installers and
Repairers67430Electricians59190Electro-Mechanical
Technicians54700Electronics Engineers, Except
Computer100610Elementary School Teachers, Except Special
Education62620Elevator Installers and
Repairers88340Embalmers48770Emergency Management
Directors79270Engineering Technicians, Except Drafters, All
Other63250English Language and Literature Teachers,
Postsecondary81700Environmental Engineering
Technicians56810Environmental Engineers84870Environmental
Science and Protection Technicians, Including
Health45090Environmental Science Teachers,

5. Postsecondary92530Environmental Scientists and Specialists,
Including Health84320Epidemiologists85620Executive
Secretaries and Executive Administrative
Assistants55770Exercise Physiologists54300Explosives
Workers, Ordnance Handling Experts, and
Blasters62910Extruding, Forming, Pressing, and Compacting
Machine Setters, Operators, and Tenders38680Farm and Home
Management Advisors38940Film and Video
Editors62280Financial Analysts85660Financial Clerks, All
Other44080Financial Examiners99800Financial
Managers134370Financial Specialists, All Other87690Fire
Inspectors and Investigators58590Firefighters49620First-Line
Supervisors of Construction Trades and Extraction
Workers82160First-Line Supervisors of Correctional
Officers84290First-Line Supervisors of Farming, Fishing, and
Forestry Workers42540First-Line Supervisors of Fire Fighting
and Prevention Workers91930First-Line Supervisors of Helpers,
Laborers, and Material Movers, Hand49590First-Line
Supervisors of Landscaping, Lawn Service, and Groundskeeping
Workers54280First-Line Supervisors of Mechanics, Installers,
and Repairers66430First-Line Supervisors of Non-Retail Sales
Workers72920First-Line Supervisors of Office and
Administrative Support Workers58120First-Line Supervisors of
Police and Detectives101240First-Line Supervisors of
Production and Operating Workers60990First-Line Supervisors
of Protective Service Workers, All Other46280First-Line
Supervisors of Transportation and Material-Moving Machine
and Vehicle Operators58250Fish and Game Wardens75430Food
Service Managers51340Foreign Language and Literature
Teachers, Postsecondary73350Forensic Science
Technicians79630Forest and Conservation
Technicians46640Foresters65970Forestry and Conservation
Science Teachers, Postsecondary90080Fundraisers57720Funeral
Service Managers82590Gaming Supervisors32220Gas
Compressor and Gas Pumping Station Operators62720Gas Plant
Operators70130General and Operations

6. Managers124190Geography Teachers,
Postsecondary82530Geological and Petroleum
Technicians39180Geoscientists, Except Hydrologists and
Geographers70730Health and Safety Engineers, Except Mining
Safety Engineers and Inspectors84880Health Diagnosing and
Treating Practitioners, All Other67650Health
Educators41781Health Specialties Teachers,
Postsecondary136670Health Technologists and Technicians, All
Other45940Healthcare Practitioners and Technical
Occupations67470Healthcare Social Workers53600Hearing Aid
Specialists46970Historians84337History Teachers,
Postsecondary88590Hoist and Winch Operators80,660Home
Economics Teachers, Postsecondary74490Human Resources
Managers112430Human Resources Specialists61460Industrial
Engineering Technicians55460Industrial
Engineers82720Industrial Machinery Mechanics55930Industrial
Production Managers100480Information and Record Clerks, All
Other45700Information Security Analysts97360Installation,
Maintenance, and Repair Occupations45990Instructional
Coordinators66810Insurance Appraisers, Auto
Damage70380Insurance Sales Agents66080Insurance
Underwriters76990Interior Designers62010Judges, Magistrate
Judges, and Magistrates58140Kindergarten Teachers, Except
Special Education55850Labor Relations
Specialists51870Landscape
Architects68960Lawyers140920Layout Workers, Metal and
Plastic42830Legal Occupations82900Legal Support Workers,
All Other59800Librarians56320Library Science Teachers,
Postsecondary78830Life Scientists, All Other82630Life,
Physical, and Social Science Occupations62840Loading
Machine Operators, Underground Mining41270Loan
Officers63040Locomotive Engineers71960Logging Workers, All
Other41940Logisticians74600Magnetic Resonance Imaging
Technologists70580Management Analysts92200Managers, All
Other88600Marine Engineers and Naval Architects82410Market
Research Analysts and Marketing Specialists62380Marketing

7. Managers122260Marriage and Family Therapists55600Materials
Engineers91510Mathematical Science Teachers,
Postsecondary78880Mechanical Drafters58540Mechanical
Engineering Technicians60220Mechanical
Engineers92040Media and Communication Equipment Workers,
All Other76540Medical and Clinical Laboratory
Technologists65770Medical and Health Services
Managers113030Medical Equipment Repairers58310Meeting,
Convention, and Event Planners52370Mental Health
Counselors46580Metal-Refining Furnace Operators and
Tenders44990Middle School Teachers, Except Special and
Career/Technical Education66630Millwrights58660Mine
Cutting and Channeling Machine Operators46250Mine Shuttle
Car Operators56930Mining and Geological Engineers, Including
Mining Safety Engineers93920Mining Machine Operators, All
Other69160Mixing and Blending Machine Setters, Operators,
and Tenders41970Mobile Heavy Equipment Mechanics, Except
Engines58950Model Makers, Metal and Plastic57100Morticians,
Undertakers, and Funeral Directors69800Multimedia Artists and
Animators59890Music Directors and Composers46260Natural
Sciences Managers113620Network and Computer Systems
Administrators87700Nuclear Engineers121650Nuclear Medicine
Technologists79440Nuclear Technicians88770Nurse
Practitioners101960Nursing Instructors and Teachers,
Postsecondary72450Occupational Health and Safety
Specialists75610Occupational Health and Safety
Technicians61740Occupational Therapists82290Occupational
Therapy Assistants61860Operations Research
Analysts90310Optometrists111790Orthotists and
Prosthetists82380Painters, Transportation
Equipment45230Paper Goods Machine Setters, Operators, and
Tenders37110Paralegals and Legal
Assistants56990Patternmakers, Metal and Plastic56260Personal
Financial Advisors121750Petroleum Pump System Operators,
Refinery Operators, and
Gaugers66550Pharmacists120280Philosophy and Religion

8. Teachers, Postsecondary78010Physical Therapist
Assistants58720Physical Therapists90040Physician
Assistants104730Physicists118520Physics Teachers,
Postsecondary89040Plant and System Operators, All
Other56830Plumbers, Pipefitters, and
Steamfitters77570Podiatrists192180Police and Sheriff's Patrol
Officers73870Political Science Teachers,
Postsecondary90250Postal Service Clerks49310Postal Service
Mail Carriers50160Postal Service Mail Sorters, Processors, and
Processing Machine Operators49820Postmasters and Mail
Superintendents75620Power Distributors and
Dispatchers84830Power Plant Operators79100Precision
Instrument and Equipment Repairers, All Other64170Private
Detectives and Investigators58290Probation Officers and
Correctional Treatment Specialists64300Producers and
Directors75970Production, Planning, and Expediting
Clerks48390Property, Real Estate, and Community Association
Managers66710Psychologists, All Other79010Psychology
Teachers, Postsecondary89680Public Relations and Fundraising
Managers115180Public Relations Specialists63620Pump
Operators, Except Wellhead Pumpers51520Purchasing Agents,
Except Wholesale, Retail, and Farm Products61760Purchasing
Managers111380Radiation Therapists84640Radio, Cellular, and
Tower Equipment Installers and Repairers49240Radiologic
Technologists63420Rail Yard Engineers, Dinkey Operators, and
Hostlers54790Railroad Conductors and Yardmasters65740Rail-
Track Laying and Maintenance Equipment Operators54600Real
Estate Brokers86260Real Estate Sales Agents59010Recreation
and Fitness Studies Teachers, Postsecondary60080Recreational
Vehicle Service Technicians34450Refractory Materials
Repairers, Except Brickmasons49210Registered
Nurses71730Reinforcing Iron and Rebar
Workers86290Respiratory Therapists56910Rolling Machine
Setters, Operators, and Tenders, Metal and Plastic38060Roof
Bolters, Mining58900Rotary Drill Operators, Oil and
Gas49720Sales Engineers98760Sales Managers75432Sales

9. Representatives, Services, All Other61930Sales
Representatives, Wholesale and Manufacturing, Except
Technical and Scientific Products69900Sales Representatives,
Wholesale and Manufacturing, Technical and Scientific
Products81950Secondary School Teachers, Except Special and
Career/Technical Education68380Securities, Commodities, and
Financial Services Sales Agents86070Service Unit Operators,
Oil, Gas, and Mining42200Set and Exhibit Designers54620Ship
Engineers57066Signal and Track Switch Repairers37720Social
and Community Service Managers63870Social Scientists and
Related Workers, All Other79960Social Work Teachers,
Postsecondary54580Social Workers, All Other65890Sociology
Teachers, Postsecondary87710Software Developers,
Applications96110Software Developers, Systems
Software106700Soil and Plant Scientists57080Sound
Engineering Technicians58660Special Education Teachers, All
Other59400Special Education Teachers, Kindergarten and
Elementary School65430Special Education Teachers, Middle
School62160Special Education Teachers, Secondary
School68560Speech-Language Pathologists78760Stationary
Engineers and Boiler
Operators79090Statisticians88190Surveyors60215Tank Car,
Truck, and Ship Loaders45470Tax Examiners and Collectors,
and Revenue Agents79850Technical
Writers67410Telecommunications Equipment Installers and
Repairers, Except Line Installers57580Tire Builders42500Tool
and Die Makers54680Training and Development
Managers101500Training and Development
Specialists59910Transportation Inspectors86790Transportation,
Storage, and Distribution Managers92220Urban and Regional
Planners79510Veterinarians93830Water and Wastewater
Treatment Plant and System Operators54560Web
Developers56820Wholesale and Retail Buyers, Except Farm
Products59080Writers and Authors62170Zoologists and
Wildlife Biologists63420
Question 1

10. 1. Describe the 8 steps in the process for hypothesis testing.
Explain the decision criteria for rejecting the null hypothesis
for both the p-value method and the critical value method.
Question 2Calculations/ValuesFormulas/AnswersMean (x-
bar)Standard DeviationnmuTest StatisticCritical ValueP-value
2a. Write the null and alternative hypotheses symbolically and
identify which hypothesis is the claim. Then identify if the test
is left-tailed, right-tailed, or two-tailed and explain why.
2b. Identify and explain which test statistic you will use for
your hypothesis test: z or t? Find the value of the test statistic.
Provide your calculations in the cells designated to the right.
Explain your answers below.
2c. What is the critical value? Describe the rejection region of
this hypothesis test.
Provide your calculations in the cells designated to the right.
Explain your answers below.
2d. Using the critical value approach, should you reject the null
hypothesis or not reject the null hypothesis? Explain. After
making your decision, restate it in non-technical terms and
make a conclusion about the original claim.
2e. Calculate the p-value for this hypothesis test, and state the

11. hypothesis conclusion based on the p-value. Does this match
your results from the critical value method?
Provide your calculations in the cells designated to the right.
Explain your answers below.
Question 3Calculations/ValuesFormulas/AnswersMean (x-
bar)Standard DeviationnmuTest StatisticCritical ValueP-value
3a. Write the null and alternative hypotheses symbolically and
identify which hypothesis is the claim. Then identify if the test
is left-tailed, right-tailed, or two-tailed and explain why.
3b. Identify and explain which test statistic you will use for
your hypothesis test: z or t? Find the value of the test statistic.
Provide your calculations in the cells designated to the right.
Explain your answers below.
3c. What is the critical value? Describe the rejection region of
this hypothesis test.
Provide your calculations in the cells designated to the right.
Explain your answers below.
3d. Using the critical value approach, should you reject the null
hypothesis or not reject the null hypothesis? Explain. After
making your decision, restate it in non-technical terms and
make a conclusion about the original claim.
3e. Calculate the p-value for this hypothesis test, and state the
hypothesis conclusion based on the p-value. Does this match
your results from the critical value method?
Provide your calculations in the cells designated to the right.

12. Explain your answers below.