Welcome! In this tutorial I’m going to be conducting
a one-sample hypothesis t-test in Excel using the built-in Data Analysis command.
I’ll be testing if the population mean age is significantly greater than 20 based on
this sample data. We’re testing if the mean is greater than
20, so this has to be the alternative hypothesis because it contains no equality.
And the null hypothesis will be µ ≤ 20. We will be conducting a t-test because the
population standard deviation is unknown. Next I’m going to launch Excel to generate
the statistics for the test.
Here in Excel, we will be using the Built-in Data Analysis command to generate the statistics
for testing the hypothesis. Click on the Data tab, and on the right here,
you should see the Data Analysis command. If it’s not there, please see description
on how to load it.
Now, there is no listed function in Data Analysis for one sample t-tests. But we’re going
to trick or fool Excel to do it. First, we create a Dummy second variable here.
And input at least two 0s in it.
Next, click Data, Data Analysis. And Scroll down to the second to the last
option here. t-test: Two-Sample Assuming Unequal Variances
Click OK.
For Variable 1 range, select the actual data. And for variable 2 range, select the dummy
data.
For the hypothesized Mean Difference, input 20 (the test value from the hypothesis).
I’m going to check labels here because I selected the labels.
For the significance level alpha, I’m going to leave it at 0.05.
For out output range, I’m just going to select it, click in this white cell, and click
anywhere on the sheet.
And then click OK.
I’m going to double-click here to expand the cells.
Right-click on the dummy column here to delete it (since we don’t need it).
And then I’m going to clean up the title a little bit.
Call it One-sample here.
And then delete the word, Difference, here because we don’t need it.
And that’s the output. ____
So here is our cleaned up output from Excel. Let’s set up a rejection or critical region:
Since this is a one-tailed test, we will use the one tailed critical value here.
And because it's a right-tailed test, we will reject the null hypothesis if the t statistic
is greater than the critical value of 1.740. For the test statistic, we have a t-stat value
here of 2.577. Again because this is a one-tailed test, our
p-value will be the one-tailed p-value here which is 0.0098.
Next we make a decision on whether or not to reject the null hypothesis.
Now, the test statistic 2.577 is greater than the critical value 1.740. As a result, we
will reject the null hypothesis. We can also use the p-value to arrive at the
same decision. The p-value rule is to reject H0 if the p-value
is less than α. Our p-value here is 0.0098 which is less than
our α of .05. And that again tells us to reject the null hypothesis.
Our conclusion will then be that: There is enough evidence to infer that the
mean age is significantly greater than 20.
And that concludes this hypothesis testing video. Thanks for watching.