The management of a taxi cab company is trying to decide if they should switch f
ID: 3248588 • Letter: T
Question
The management of a taxi cab company is trying to decide if they should switch from bias tires to radial tires to improve fuel economy. Each of 10 taxis was equipped with one of the two tire types and driven on a test course. Without changing drivers, tires were then switched to the other tire type and the test course was repeated. The fuel economy (in mi/gal) for the 10 cars is as follows: Because switching tires on the taxi fleet is expensive, management does not want to switch unless a hypothesis test provides strong evidence that the mileage will be improved. Find the range of the P -value based on the appropriate null and alternate hypotheses. Round your answers to three decimal places. Lower limit of the -value = Upper limit of the P-value =Explanation / Answer
Sp^2= (n1-1)S1^2+(n2-1)S2^2/(n1-1)+(n2-1)
= (10-1)*2.37^2+(10-1)*2.065^2/9+9
= 4.94
tSTAT=(X1-X2)-(µ1-µ2)/Sp^2(1/n1+1/n2)
=(32.2-30)-0/4.94 (1/10+1/10)
=2.2/0.9940
=2.21
Based on this, the lower limit of P-Value is .020148. Also, the upper limit for p-value is 0.020148.
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