MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
6th Edition
ISBN: 9781119256830
Author: Amos Gilat
Publisher: John Wiley & Sons Inc
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In this problem, assume that the distribution of differences is approximately normal. Note: For degrees of freedom d.f. not in the Student's t table, use the closest d.f. that is smaller. In some situations, this choice of d.f. may increase the P-value by a small amount and therefore produce a slightly more "conservative" answer.
Are America's top chief executive officers (CEOs) really worth all that money? One way to answer this question is to look at row B, the annual company percentage increase in revenue, versus row A, the CEO's annual percentage salary increase in that same company. Suppose a random sample of companies yielded the following data:
B: Percent increase
for company
24 25 27 18 6 4 21 37
A: Percent increase
for CEO
25 23 22 14 −4 19 15 30

a) What is the value of the sample test statistic? (Round your answer to three decimal places.)

b)Find (or estimate) the P-value.

a) P-value > 0.500
b) 0.250 < P-value < 0.500   
c) 0.100 < P-value < 0.250
d) 0.050 < P-value < 0.100
e) 0.010 < P-value < 0.050
f) P-value < 0.010
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