Bahir Dar University
College of Science, Statistics & Data Science Department
Applied Statistics for Data Science & Artificial Intense Project Work I
Project Overview
This project uses the Employee [Link] dataset containing 474 employee records with variables
including gender, education, job category, salary, previous experience, and minority status.
Students will work in 4 groups to perform statistical analyses including descriptive statistics,
estimation, and hypothesis testing.
Tasks I:
1. Data Exploration
o Calculate basic descriptive statistics (mean, median, mode, variance, standard
deviation) for:
▪ Current salary (salary)
▪ Starting salary (salbegin)
▪ Education level (educ)
▪ Previous experience (prevexp)
o Present results separately for males and females
2. Visualization
o Create histograms for salary by gender
o Create box plots for salary by job category (1, 2, 3)
o Create a scatter plot of salary vs. salbegin
3. Preliminary Questions
o What is the average salary difference between males and females?
o Which job category has the highest salary variability?
o Is there an apparent relationship between education level and salary?
Tasks II:
1. Confidence Interval for Mean Salary
o Calculate 95% confidence interval for the mean salary of all employees
o Calculate 90% and 99% confidence intervals for comparison
o How does sample size affect interval width?
2. Confidence Interval for Proportion
o Estimate the proportion of minority employees in the company
o Calculate 95% CI for this proportion
3. Confidence Interval for Difference in Means
o Calculate 95% CI for the difference in mean salaries between:
▪ Job category 1 vs. Job category 3
▪ Employees with education ≤12 vs. ≥16 years
Tasks III:
1. One-Sample Test
o Test if the mean salary is significantly different from $40,000 (α=0.05)
o Test if the proportion of female employees is less than 50% (α=0.05)
o Test if the average previous experience exceeds 100 months (α=0.01)
2. Two-Sample Independent Test
o Test if there’s a significant difference in mean salary between:
▪ Minority vs. non-minority employees
▪ Job category 1 vs. Job category 2
o Test if the variance in salary differs by gender
3. Two-Sample Paired Test
o Test if current salary is significantly higher than starting salary (paired test)
Common Deliverables:
• Share all questions equally to 4 groups
• Deadline: You should submit your project work one week before the mid exam!
1. Prepare Detail Statistical Report (10-15 pages) including:
o Introduction and objectives
o Methodology
o Results with tables/figures
o Discussion and limitations
o Conclusions and recommendations
2. Code/Software
o R/Python code
o Clean, commented, and well-organized
3. Presentation
o 15-minute presentation of key findings
o Visual aids required