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A tech company claims that their new software reduces the average time taken to process a specific task by 2 minutes compared to the existing software in the market. An independent tech reviewer wants to test this claim. They conduct an experiment with 40 users. Half of them use the new software, and the other half use the existing software. The differences in processing times (new software - existing software) are recorded for each user. The sample mean difference is found to be 1.5 minutes with a standard deviation of 1.2 minutes. Test the company's claim at a 1% significance level.

Question

A tech company claims that their new software reduces the average time taken to process a specific task by 2 minutes compared to the existing software in the market. An independent tech reviewer wants to test this claim. They conduct an experiment with 40 users. Half of them use the new software, and the other half use the existing software. The differences in processing times (new software - existing software) are recorded for each user. The sample mean difference is found to be 1.5 minutes with a standard deviation of 1.2 minutes. Test the company's claim at a 1% significance level.

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Solution

To test the company's claim, we can use a one-sample t-test. Here are the steps:

Step 1: State the null and alternative hypotheses.

The null hypothesis (H0) is that the mean difference in processing times is equal to 2 minutes. This represents the company's claim.

The alternative hypothesis (H1) is that the mean difference in processing times is not equal to 2 minutes. This represents the possibility that the company's claim is false.

H0: μ = 2 H1: μ ≠ 2

Step 2: Calculate the test statistic.

The test statistic for a one-sample t-test is calculated as follows:

t = (x̄ - μ0) / (s / √n)

where x̄ is the sample mean, μ0 is the population mean under the null hypothesis, s is the sample standard deviation, and n is the sample size.

In this case, x̄ = 1.5 minutes, μ0 = 2 minutes, s = 1.2 minutes, and n = 40.

t = (1.5 - 2) / (1.2 / √40) = -2.08

Step 3: Determine the critical value.

The critical value for a two-tailed t-test at a 1% significance level with 39 degrees of freedom (n - 1 = 40 - 1 = 39) can be found in a t-distribution table or calculated using a statistical software. The critical value is approximately ±2.707.

Step 4: Make a decision.

Since the test statistic (-2.08) does not fall in the rejection region (t < -2.707 or t > 2.707), we fail to reject the null hypothesis.

Conclusion: At a 1% significance level, there is not enough evidence to reject the company's claim that their new software reduces the average time taken to process a specific task by 2 minutes compared to the existing software in the market.

This problem has been solved

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