


If there is any significant difference between the two pairs of samples, then the mean of d is expected to be far from 0. The average of the difference d is compared to 0. Let d represents the differences between all pairs. To compare the means of the two paired sets of data, the differences between all pairs must be, first, calculated. If the variances of the two groups being compared are different, the Welch t test can be used. The test can be used only when the two groups of samples (A and B) being compared follow bivariate normal distribution with equal variances. The level of significance or ( p-value) corresponds to the risk indicated by the t-test table for the calculated |t| value. If the absolute value of the t-test statistics (|t|) is greater than the critical value, then the difference is significant. Once t-test statistic value is determined, you have to read in t-test table the critical value of Student’s t distribution corresponding to the significance level alpha of your choice (5%).

The t test statistic value to test whether the means are different can be calculated as follow :

To evaluate whether the difference is statistically significant, you first have to read in t test table the critical value of Student’s t distribution corresponding to the significance level alpha of your choice (5%). The comparison of the observed mean (m) of the population to a theoretical value \(\mu\) is performed with the formula below : Let X represents a set of values with size n, with mean m and with standard deviation S. These knee-jerk responses can amplify variation and cause more problems than doing nothing at all.As mentioned above, one-sample t-test is used to compare the mean of a population to a specified theoretical mean ( \(\mu\)). Without such testing, teams can run around changing machine settings, formulas and so on causing more variation. and whether the differences are statistically significant or not. Hypothesis testing asks the question: Are two or more sets of data the same or different, statistically.įor companies working to improve operations, hypothesis tests help identify differences between machines, formulas, raw materials, etc. Hypothesis testing helps identify ways to reduce costs and improve quality. Statistical Analysis Excel » Hypothesis Testing Hypothesis Testing What is a Hypothesis Test?
