Reformulate your hypothesis test from your week 5 discussion to incorporate a 2-sample hypothesis test, as specified in Chapter 10. What would be your data? What is your null hypothesis? What is your alternate hypothesis? What would be your Type 1 and Type 2 errors relative to your decision? Suppose you have a p-value of 0.01, what does this mean relative to your problem and decision? Suppose your p-value is 0.20, what does this mean relative to your problem and decision?
If you reformulated your design for 3 or more samples, what would be the implications of interaction? When would you use the Tukey HSD or the Tukey-Kramer test, and WHY?


Week 5 hypothesis test below, Please use to answer questions above:

There are numerous examples where we can use the hypothesis test method to test a data claim. One such example is provided below. Assume I want to see if the average price of a Costco share last year was $80 or not. So, for this two-sided hypothesis test, the necessary information is provided below.


My data would be the share price of Costco on random days last year.


My null hypothesis is that the average Costco share price last year was not significantly different from $80, i.e. H0: μ= 80.


My alternative hypothesis is that the average Costco share price last year was significantly different from $80, i.e. H1: μ ≠80.


The Type I error is assuming that the average share price is significantly higher than $80 when it is not. The Type II error concludes that the average share price is not significantly different from $80, which it is.


Taking the 5% or 0.05 significance level into account, we can see that the p-value of 0.01 is less than the significance level, and thus we will reject the null hypothesis, concluding that the average share price is significantly different from $80.


Taking the 5% or 0.05 significance level into account, we can see that the p-value of 0.20 is greater than the significance level, and thus we will not reject the null hypothesis, concluding that the average share price is not significantly different from $80.