Week 5 discussion and participation questions Essay

Week 5 discussion and participation questions - Essay Example An independent variable for this problem could be income. Hypothesis testing is a procedure that tests the validity of a statement in regards to a population parameter. A hypothesis is a statement about a population parameter. The five-step procedure for testing a hypothesis is: One of the reasons why hypothesis testing has been used in the business world for decades is due to its utility. The procedure can be used in a wide variety of scenarios or problem in order to test a potential hypothesis. One of the limitations of hypothesis testing is that there is a margin for error in the analysis. The ANOVA test compares the sample means through their variances. The test is applied by calculating two estimates of the variance population distributions: the variance between samples and the variance within samples. The application of regression analysis which uses both dependent and independent variables can be used in the business world to calculate a lot of different business problems and scenarios. For example a company can forecast the sales of the business for future periods utilizing the past historical sales data. A marketer could create an equation that uses dependent and independent variables to determine the preference in customer taste. In your example you mentioned the probabilities associated with card games. I am pretty sure that good Poker players are have an excellent understanding of probabilities and statistics. When I go to the casino I like playing blackjack. I know that when the dealer deals a lot of low cards and my turn is up the chances of the dealer giving me a high card increases. An equation that can be used to put the concept of dependent and independent variables into good use is the y = ax + b. In this equation x is the independent variable and y is the dependent variable. This equation can be used in the business world to solve a lot of different problems or scenarios. For example a research