Taxation Statistics Project Example | Topics and Well Written Essays - 1000 words

Taxation - Statistics Project Examplee telecommunication fabrication is an average of 11.77% of utter(a) get ahead, the tax paid by the health cargon industry is an average of 8.24% of gross increase. We test the hypotheis whether the average for telecommunication is greater than that for health care.HypothesisNull hypothesisH0 B1 = B2Alternative hypothesisHa B1B2Where B1 is the take to be piece tax paid by the telecommunication industry, B2 is mean percentage tax paid by the health care industry.We test the hypothesis that the mean are different using T test, we use the undermentioned formula to determine the T calcaulted tax Tcal = (B1 -B2)(12/ n1 + 12 /n2)Where is the standard deviation and n is the sample size, wanton away substitute the formula as followsTelecommunication ServicesHealth Caretax / gross profittax / gross profittotal3.2981187560.57652713mean0.1177899560.082361019standard deviation0.0455043280.020043758variance0.0020706440.000401752Tcal = (3.298118756 -0.5 7652713)(0.002070644/ 28 + 0.000401752 /7)T calculated is therefore equal to, T cal = 0.011460574We test this hypothesis at the 95% level of test, a two tail test gives us a little value of 2.05183, T critical = 2.05183. DecisionIn hypothesis testing when the T calcualted value is greater than the T critical value we reject the null hypothesis, and if it is less(prenominal) than the T critical value we accpet the null hypothesis, for this reaons therefore our T calcualted value is less than our T critical value and therefore we accet the null hypothesis that B1 = B2, rejecting the alternative hypothesis that B1B2. for this reaosn therefore we conclude that tax paid on gross profit by the...On taxes paid health care paid a mean of 1,227.38 in tax while the telecommunication services industry paid a mean of 1,421.34 in taxes, this shows that the telecommunication industry paid a higher tax than health care despite health care recording a higher mean gross profit.From the above we te st the hypothesis that Telecommunication Service industry pay more taxes on gross profit than the healthcare service industry, in order to test this hypothesis we calculate the percentage tax paid on gross profit by both industries, the following table sumarises the resultsIn hypothesis testing when the T calcualted value is greater than the T critical value we reject the null hypothesis, and if it is less than the T critical value we accpet the null hypothesis, for this reaons therefore our T calcualted value is less than our T critical value and therefore we accet the null hypothesis that B1 = B2, rejecting the alternative hypothesis that B1B2. for this reaosn therefore we conclude that tax paid on gross profit by the Telecommunication Service industry is equal to the tax paid on gross proifit by the healthcare service industry.From the above discussion it si evident that the health care idnustry has a higher mean level of gross profit than the teleommunication idnustry, on tax i t is evident that the mean tax paid by the health care industry is lower than the averag