Statistics

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 $75,000.

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. Your research and analysis should be present within the answers provided on the worksheet.