It has been suggested that night shift-workers show more variability in their output levels than day workers. Below, you are given the results of two independent random samples. Night Shift (N) Day Shift (D)
Sample Size 9 8
Sample Mean 520 540
Sample Variance 38 20

Required:

a. At 95% confident level, what is the critical value?
b. State the null and alternative hypotheses to be tested.
c. Compute the test statistic.
d. Determine the p-value.

Null hypotheses = H₀ = σ₁² ≤ σ₂²

Alternative hypotheses = Ha = σ₁² > σ₂²

Test statistic = 1.9

p-value = 0.206

Since the p-value is greater than α therefore, we cannot reject the null hypothesis.

So we can conclude that the night shift workers don't show more variability in their output levels than day workers.

Step-by-step explanation:

Let σ₁² denotes the variance of night shift-workers

Let σ₂² denotes the variance of day shift-workers

State the null and alternative hypotheses:

The null hypothesis assumes that the variance of night shift-workers is equal to or less than day-shift workers.

Null hypotheses = H₀ = σ₁² ≤ σ₂²

The alternate hypothesis assumes that the variance of night shift-workers is more than day-shift workers.

Alternative hypotheses = Ha = σ₁² > σ₂²

Test statistic:

The test statistic or also called F-value is calculated using

Test statistic = Larger sample variance/Smaller sample variance

The larger sample variance is σ₁² = 38

The smaller sample variance is σ₂² = 20

Test statistic = σ₁²/σ₂²

Test statistic = 38/20

Test statistic = 1.9

p-value:

The degree of freedom corresponding to night shift workers is given by

df₁ = n - 1

df₁ = 9 - 1

df₁ = 8

The degree of freedom corresponding to day shift workers is given by

df₂ = n - 1

df₂ = 8 - 1

df₂ = 7

We can find out the p-value using F-table or by using Excel.

Using Excel to find out the p-value,

p-value = FDIST(F-value, df₁, df₂)

p-value = FDIST(1.9, 8, 7)

p-value = 0.206

Conclusion:

p-value > α    

0.206 > 0.05   ( α = 1 - 0.95 = 0.05)

Since the p-value is greater than α therefore, we cannot reject the null hypothesis corresponding to a confidence level of 95%

So we can conclude that the night shift workers don't show more variability in their output levels than day workers.