Computational and Statistical Methods for Research

Study Group 1
Problem 1
Which of the following statements are true?

I. All variables can be classified as quantitative or categorical variables.

II. Categorical variables can be continuous variables.
III. Quantitative variables can be discrete variables.

(A) I only
(B) II only
(C) III only
(D) I and II
(E) I and III

Solution
The correct answer is (E). All variables can be classified as quantitative or categorical variables.
Discrete variables are indeed a category of quantitative variables. Categorical variables, however,
are not numeric. Therefore, they cannot be classified as continuous variables.
Problem 2
A sample consists of four observations: {1, 3, 5, 7}. What is the variance?

A. 2.24
B. 2.58
C. 5.00
D. 6.67
E. None of the above

Solution
The correct answer is (D). First, we need to compute the sample mean.

x=(1+3+5+7)/4=4
s = Σ ( xi - x )2 / ( n - 1 )
s = [ ( 1 - 4 )2 + ( 3 - 4 )2 + ( 5 - 4 )2 + ( 7 - 4 )2 ] / ( 4 - 1 )
s = [ ( -3 )2 + ( -1 )2 + ( 1 )2 + ( 3 )2 ] / 3
s = [ 9 + 1 + 1 + 9 ] / 3 = (20 / 3) = 6.67
Problem 3
Each year, a national achievement test is administered to 3rd graders. The test has a mean score of
100 and a standard deviation of 15. If Jane's z-score is 1.20, what was her score on the test?
(A) 82
(B) 88
(C) 100
(D) 112
(E) 118

Solution
The correct answer is (E). From the z-score equation, we know

z = (x - M) / sd
where z is the z-score, x is the value of Jane's test score, M is the mean test score, and sd is the
standard deviation of test scores.
Solving for Jane's test score (x), we get
x = ( z * sd) + 100 = ( 1.20 * 15) + 100 = 18 + 100 = 118
Problem 4
In hypothesis testing, which of the following statements is always true?
I. The P-value is greater than the significance level.
II. The P-value is computed from the significance level.
III. The P-value is the parameter in the null hypothesis.
IV. The P-value is a test statistic.
V. The P-value is a probability.
(A) I only
(B) II only
(C) III only
(D) IV only
(E) V only

Solution
The correct answer is (E). The P-value is the probability of observing a sample statistic as extreme
as the test statistic. It can be greater than the significance level, but it can also be smaller than the
significance level. It is not computed from the significance level, it is not the parameter in the null
hypothesis, and it is not a test statistic.
Problem 5
Which of the following statements is true.
I. The standard error is computed solely from sample attributes.
II. The standard deviation of the population is computed solely from sample attributes.
III. The standard error is a measure of central tendency.
(A) I only
(B) II only
(C) III only
(D) All of the above.
(E) None of the above.

Solution
The correct answer is (A). The standard error can be computed from a knowledge of sample
attributes - sample size and sample statistics. The standard deviation of the population cannot be
computed solely from sample attributes, as the sample attributes could only provide an estimate
of the population’s standard deviation. The standard error is a measure of variability, not a
measure of central tendency.
Problem 6
Suppose a simple random sample of 150 students is drawn from a population of 3000 college
students. Among sampled students, the average IQ score is 115 with a standard deviation of 10.
What is the 99% confidence interval for the students' IQ score?

(A) 115 + 0.01

(B) 115 + 0.82
(C) 115 + 2.1
(D) 115 + 2.6
(E) None of the above
Solution

We can use the following four-step approach to construct a confidence interval:

• Identify a sample statistic. We choose the sample mean (115) as the sample statistic.

• Select a confidence level. In this analysis, the confidence level is defined for us in the problem.
We are working with a 99% confidence level.

• Find the margin of error: Margin of error = Critical value x Standard error of the statistic

• When the sampling distribution of the statistic is normal the critical value can be expressed as a
z-score.
Margin of error = Critical value x Standard error of the statistic

• Find standard deviation or standard error. Since we do not know the standard deviation of the
population, we cannot compute the standard deviation of the sample mean; instead, we
compute the standard error (SE).

SE x = s / sqrt( n ) = 10 / sqrt(150) = 10 / 12.25 = 0.82

• Find critical value. The critical value is a factor used to compute the margin of error. From z-
score, using a 99% confidence interval:

CI = 99%
α = 1 - (confidence level / 100) = 1 - 99/100 = 0.01
For the CI (like the 2-sided test), the z-score needed
then corresponds to the probability 0.995

So the critical value is: 2.58

Compute margin of error (ME):

ME = critical value * standard error = 2.58 * 0.82 = 2.1

Specify the confidence interval. The range of the confidence interval is defined by the sample
statistic + margin of error. And the uncertainty is denoted by the confidence level.

Therefore, the 99% confidence interval is 112.9 to 117.1. That is, we are 99% confident that the true
population proportion is in the range defined by 115 + 2.1.

Solution
The correct answer is (C).
Problem 7

The Acme Company has developed a new battery. The engineer in charge claims that the new
battery will operate continuously for at least 7 minutes longer than the old battery.

To test the claim, the company selects a simple random sample of 100 new batteries and 100 old
batteries. The old batteries run continuously for 190 minutes with a standard deviation of 20
minutes; the new batteries, 200 minutes with a standard deviation of 40 minutes.

Test the engineer's claim that the new batteries run at least 7 minutes longer than the old. Use a
0.05 level of significance. (Assume that there are no outliers in either sample.)
The solution to this problem takes four steps:

(1) state the hypotheses

(2) formulate an analysis plan
(3) analyze sample data
(4) interpret results

State the hypotheses. The first step is to state the null hypothesis and an alternative hypothesis.
Null hypothesis: μ1 - μ2 < 7
Alternative hypothesis: μ1 - μ2 >= 7
Note that these hypotheses constitute a one-tailed test. The null hypothesis will be rejected if
the mean difference between sample means is bigger or equal to 7.

Formulate an analysis plan. For this analysis, the significance level is 0.05. Using sample data, we
will conduct a two-sample t-test of the null hypothesis.
Analyze sample data. Using sample data, we compute the standard error (SE), degrees of freedom
(DF), and the t statistic test statistic (t).

SE = sqrt[(s1^2/n1) + (s2^2/n2)]
SE = sqrt[(40^2/100) + (20^2/100] = sqrt(16 + 4) = 4.472

DF = (s12/n1 + s22/n2)2 / { [ (s12 / n1)2 / (n1 - 1) ] + [ (s22 / n2)2 / (n2 - 1) ] }

DF = (402/100 + 202/100)2 / { [ (402 / 100)2 / (99) ] + [ (202 / 100)2 / (99) ] }
DF = (20)2 / { [ (16)2 / (99) ] + [ (2)2 / (99) ] } = 400 / (2.586 + 0.162) = 145.56

t = [ (x1 - x2) - d ] / SE = [(200 - 190) - 7] / 4.472 = 3/4.472 = 0.67

where s1 is the standard deviation of sample 1, s2 is the standard deviation of sample 2, n1 is the size of sample 1, n2 is
the size of sample 2, x1 is the mean of sample 1, x2 is the mean of sample 2, d is the hypothesized difference between
population means, and SE is the standard error.
For this one-tailed test , the region of rejection is on the positive end of the sampling distribution.
Thus, the P-value is the probability that a t statistic having 146 degrees of freedom is greater than
0.67.

We use the t Distribution Calculator to find P(t > 0.67) = 0.25. Thus, the P-value = 0.25.

Interpret results. Since the P-value (0.25) is greater than the significance level (0.05), we cannot
reject the null hypothesis.
ORIGINAL SOLUTION

State the hypotheses. The first step is to state the null hypothesis and an alternative hypothesis.
Null hypothesis: μ 1 - μ2 >= 7
Alternative hypothesis: μ1 - μ2 < 7
Note that these hypotheses constitute a one-tailed test. The null hypothesis will be rejected if
the mean difference between sample means is too small.

Interpret results. Since the P-value (0.25) is greater than the significance level (0.05), we cannot
accept the null hypothesis.