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In the Sign Test Procedure the Most Common Approach to Handling

Question 72

Essay

In the sign test procedure the most common approach to handling ties is to exclude the ties. A second approach
is to treat half the 0s (representing ties) as positive signs and half as negative signs. In this approach, if the
number of ties is odd, one tie is excluded so that they can be divided equally. In a sign test for matched pairs
with a claim that the median of the differences is equal to zero, there are 30 positive signs, 50 negative signs, and
23 ties. Identify the test statistic and conclusion for the two different methods. Use a significance level of 0.05.

Correct Answer:

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Approach 1:
Test statistic: z = -2.12
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