Z Test

z-test
A z-test is used in hypothesis testing to

evaluate whether a finding or association is
statistically significant or not.
Hypothesis Testing
is a statistical method that is used in making statistical decisions
Statistical Hypothesis
is a conjecture about the population parameter. This conjecture may/may
nit be true.
2 TYPES OF STATISTICAL HYPOTHESIS
1. Null Hypothesis
-symbolized by Ho
-shows that there is no difference between the 2 population means( or
parameter)
2. Alternative Hypothesis
-symbolized by Hi
-it shows that there is a difference between 2 population means
HYPOTHESIS TESTING: FOR ONE
SAMPLE MEAN
 We perform the One-Sample z-Test when we want to
compare a sample mean with the population mean
SAMPLE MEAN
Step 1 Identify the Null Hypothesis and Alternative

Hypothesis
 Ho:µ=16 ∕ µ ≥ / µ ≤ (Null Hypothesis)
 Ha: µ≠ / µ < / µ > (Alternative Hypothesis)
SAMPLE MEAN
Step 2 Identify the test to be used
 if σ(sigma) is given (used z-test)
 if σ(sigma) is not given (used t-test)
 µ≠ (not equal), then it is a two-tailed test
 µ(>,<),then it is a one-tailed test
ONE-TAILED
TEST
left tailed test right tailed test

(population proportion is less than (population proportion is greater
hypothesized proportion) than hypothesized proportion)
TWO-TAILED
TEST
SAMPLE MEAN
Step 3 Calculate the test statistic.
µ= population mean
Ẋ= sample mean
σ= population standard deviation
n= sample size
SAMPLE MEAN
Step 4 Calculate the critical value
• if the sample size is greater than or equal to 30,
then used z-table
• if the sample is less than 30, then used t-table
SAMPLE MEAN
Step 5 Draw the conclusion.
• Accept or Reject the Null Hypothesis
Let’s try!
A manufacturer of cellular phone batteries claims
that when fully charged, the mean life of his
products last for 26 hours with a standard deviation
of 5 hours. Mr. Mikes, a regular distributor,
randomly picked and tested 35 of the batteries. His
test showed that the average life of his sample is
24.3 hours. Is there a significant difference between
the average life of all the manufacturer’s batteries
and the average battery life of his sample.
Given:
µ= 26 hrs. Ẋ= 24.3 σ= 5 hrs.
n=35 = 0.05 (1.96)
Ho: µ= 26 hrs.
Ha: µ ≠ 26 hrs.
This is a two-tailed test
24 . 3 − 26 −1 . 7 −1 .7
¿ ¿
5 5 ¿
0 . 845154 ¿ −2 . 01
√ 35 5 . 916079
Z= 2.01
Z= -2.01
CONCLUSION:
Since the test statistic falls under the rejection area, the null
hypothesis has been rejected and alternative hypothesis is
accepted which means there is a significance difference
between the average life of all manufacturers batteries and the
battery life of his sample.
EXAMPLE :
(ONE-TAILED TEST)
A principle claims that the students in his school are above average intelligence. A random sample of 30
IQ scores have a mean of 112.5. Is there sufficient evidence to support the principal’s claim? The mean
population IQ is 100 with a standard deviation of 15. Use .05 level of significance.
Given:
µ= 100 Ẋ= 112.5 σ= 15 n=30 = 0.05 (1.645)
Ho: µ= 100
Ha: µ > 100
112.5 − 100
1.645
¿
Z= 4.56
15 ¿ 4.56
√3 0
Conclusion:
Since the test statistic falls under the rejection
area, the null hypothesis has been rejected and
alternative hypothesis is accepted. We are 95%
confident to conclude that the students in the
school are above average intelligence.
HYPOTHESIS TESTING: FOR TWO
SAMPLE MEAN
What is z-test for two sample mean test?
 The z-test for two sample mean test is another parametric
test used to compare the means of two independent groups
of samples drawn from a normal population, if there are
more than 30 samples for every group.
SAMPLE MEAN
When do we use z-test for two-sample mean?

 When we compare the means of samples of independent
groups taken from a normal population
SAMPLE MEAN
How do we use z-test for a two-sample mean test?
where: the formula is:
x̅1 = sample mean of first sample
x̅2 = sample mean of second sample
σ12= population variance in first population
σ22= population variance in second population
n1= sample size of first group
n2= sample size of second group
Example:
An admission test was administered to incoming freshmen in
the College of Accountancy and College of Education with 100
students each college randomly selected. The mean scores of
the given samples were x̅1 = 90 and x̅2 = 85 and the variances
of the test scores were 40 and 35 respectively. Is there a
significant difference between the two groups? Use .01 level of
significance
Given:
x̅1 = 90 x̅2 = 85 σ12= 40 σ22= 35
n1= 100 n2= 100 = 0.01 (2.58)
Ho: x̅1 = x̅2 (There is no significant difference between the two groups)
Ha: x̅1 ≠ x̅2 (There is a significant difference between the two groups)
-this is a two-tailed test
90 − 85 5 5 5
𝑧= ¿ ¿ ¿
√
5.774
√ 40
+
35
100 100
75
100
√ . 75 . 866
Z= -5.744 Z= 5.744
Conclusion:
Since the z-computed value of 5.774 is greater than the z-
tabular value of 2.575 at .01 level of significance, the null
hypothesis is rejected and the alternative hypothesis is accepted
which means there is a significance difference between the
two groups.
Difference between ONE and TWO sample
Z hypothesis test
 The one-sample z-test is to tests the difference between a
single group and the hypothesized population value whereas
the two-sample z-test is to test the difference between means
of two groups.
Basic Concepts:
We consider the Null Hypothesis to be true until we find

strong evidence against it. Then we accept the Alternate
Hypothesis.

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z-test

A z-test is used in hypothesis testing to

Step 1 Identify the Null Hypothesis and Alternative

left tailed test right tailed test

σ= population standard deviation

µ= 26 hrs. Ẋ= 24.3 σ= 5 hrs.

n=35 = 0.05 (1.96)

This is a two-tailed test

µ= 100 Ẋ= 112.5 σ= 15 n=30 = 0.05 (1.645)

Ha: µ > 100

When do we use z-test for two-sample mean?

We consider the Null Hypothesis to be true until we find

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