Question Details

MM 305 Unit 4 Project

Directions:
•	The following software may be used:
o	Excel->Data Analysis
o	Excel QM
o	PhStat
•	Please make sure to insert your answers, including any charts, graphs, or output, on this document.  You may be required to also upload original files from Excel.
•	The calculations are not your final answer.  A summary/explanation in your own word for each question posed should be included.
•	Questions1,3,6,7 and 11 require the use of the Salary Data File.  The Salary Data file is located in Doc Sharing->Instructor Graded Projects. 
•	Be sure to put your name on this document and save it to your computer. Upload this Word document as your Unit 4 submission in the course Drop Box.

Submitting Your Project:

•	Save your project in a location that you will remember and with your full name. When you are ready to submit your project, click on the Dropbox and complete the steps below:
•	Click the link that says, “Submit an Assignment.”
•	In the “Submit to Basket” menu, select Unit 4 Project.
•	In the “Comments” field include your name.
•	Click the “Add Attachments” button.
•	Follow the steps listed to attach your Word Document.
•	You should revisit the Dropbox to view any helpful feedback your instructor has and to retrieve your graded project.
•	Make sure that you save a copy of your submitted project.


 
1. For each the following variables from the Salary Data Setprovide the measures of location and measures of dispersion for the following variables:
1.	Current Salary

Answer:
.


Explanation (include any calculations or software output):



2.	Beginning Salary
Answer:
.

Explanation (include any calculations or software output):





3.	Which variable has the greatest relative variability?

Answer:

Explanation (include any calculations or software output):



 
2. You are the manager of a high-end ladies fashion store. For the past few months you have been gathering data and found that 35% of persons entering the store actually make a purchase. Assume these data follow a Binomial Distribution and use Excel to calculate the following binomial probabilities:
1.	If 15 people enter the store, what is the probability that exactly 7 of them will make a purchase?

Answer:


Explanation (include any calculations or software output):



2.	What is the probability that more than 7of the 15 people will make a purchase? 

Answer:
.



Explanation (include any calculations or software output):

 
3. Using the Salary Data Set what is the probability of randomly selecting one individual (male or female) with acurrent annual salary of over $50,000?

Answer:




Explanation (include any calculations or software output):





4. The time required to complete a project is normally distributed with a mean of 79 weeks and a standard deviation of 2 weeks.  The construction company must pay a penalty if the project is not finished by the due date of the contract. If a construction company bidding on this contract wishes to be 95 percent sure of finishing by the due date, use the NORMINV Excel Function to determine what due date (project week #) should be negotiated?

Answer:



Explanation (include any calculations or software output):
 
5. In a state lottery participants select 6 numbers between 1 and 99. At the end of the week, the state lottery commission randomly draws 6 numbers between 1 and 99. How many different possible winning number combinations could be drawn by the lottery commission? 

Answer:



Explanation (include any calculations or software output):

6. From the Salary Data Set and assuming that the salary data is a random sample from the population of salaries from the multi-national company use the 95% confidence level in PHStat to estimatethe mean currentsalary for company executives. 
1.	The 95% confidence level interval is: 
Answer:

Explanation (include any calculations or software output):





2.	If you were to change the confidence level to 99%, what would happen to the confidence interval?  What is the 99% confidence interval?
Answer:
.


Explanation (include any calculations or software output):

 
7. Using the Salary Data Set, 

1.	Create a scatter plot to show this relationship between education and current salary



2.	Determine the correlationcoefficient between the variables.  What does this tell us about the relationship?

Answer:
.



Explanation (include any calculations or software output):




 
8. Explain why rejecting the null hypothesis does not make the alternative hypothesis true.

Answer in your words:













9.  What is the purpose of statistical inference? 
Answer in your words:















10. What is the difference between sampling error and the standard error of the mean?

Answer in your words:





 

11. You are a consultant working for Kaplan Consulting. The Director of Human Resources for a multi-national company has requested help in investigating a pay discrimination complaint brought by a female executive. The company provided the data in the Salary Data Set. Use PHStat and the appropriate t test, to investigate the claim of pay discrimination in the Beginning Salary.
“Is there a significant differencebetween the average female and average male salaries?”

1.	What is the Null and the Alternative Hypotheses?
Ho: 

Ha:


2.	What is your level of alpha (α)?
Answer:

Why did you choose this level?  Please explain in terms of Type I or Type II errors.




3.	What is the output from your analysis?
Software output or calculations: 




4.	What is your decision about the hypothesis based on the software output?
Answer in your words:




5.	Is there a significant difference between the average female and average male salaries?  Please write a written statement to the director of Human Resources as to whether they should be concerned about the complaint. 
Answer in your words: