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10.20. Some studies have shown that in the United States, men spend more than wo

ID: 3291408 • Letter: 1

Question

10.20. Some studies have shown that in the United States, men spend more than women buying

gifts and cards on Valentine's Day. Suppose a researcher wants to test this hypothesis by

randomly sampling nine men and 10 women with comparable demographic

characteristics from various large cities across the United States to be in a study. Each

study participant is asked to keep a log beginning one month before Valentine's Day and

record all purchases made for Valentine's Day during that one-month period. The

resulting data are shown below. Use these data and a 1% level of significance to test to

determine if, on average, men actually do spend significantly more than women on

Valentine's Day. Assume that such spending is normally distributed in the population and

that the population variances are equal.

Men Women

$107.48 $125.98

143.61 45.53

90.19 56.35

125.53 80.62

70.79 46.37

83.00 44.34

129.63 75.21

154.22 68.48

93.80 85.84

126.11

a) Decision is:

b) Test t =

c) p-value for this test is =

d) Critical t value(s) is/are

e) Copy and paste a little distribution diagram and label the critical t value(s)

f) Copy

Also repeat the calculation using the Excel routine for NON-EQUAL population variances to

show any differences from above.

a) Decision is:

b) Test t =

c) p-value for this test is =

d) Critical t value(s) is/are

Note the equal-variances case is accepted as sufficiently accurate for nearly all t-tests mentioned in

Chapter 10. The equal-variances case always has an integer and easy-to-calculate degrees of freedom.

Explanation / Answer

For men, x-bar = 110.917 and s = 28.792

For women, x-bar = 75.463 and s = 30.530

n1 = 9, n2 = 10, x1-bar = 110.916667, x2-bar = 75.463, s1 = 28.7915925, s2 = 30.5296526    

Ha: 1 2   

Ha: 1 > 2   

Degrees of freedom = 9 + 10 - 2 = 17

Critical t- score = 1.73960672  

We will reject Ho if t > 1.73960672  

Test Statistic:    

Pooled SD, s = [{(n1 - 1) s1^2 + (n2 - 1) s2^2} / (n1 + n2 - 2)] = (((9 - 1) * 28.7915925228182^2 + (10 - 1) * 30.5296526347746^2)/(9 + 10 - 2)) = 29.72440432

SE = s * {(1 /n1) + (1 /n2)} = 29.7244043229287 * ((1/9) + (1/10)) = 13.65742128

t = (x1-bar -x2-bar)/SE = (110.916666666667 - 75.463)/13.6574212771363 = 2.595926855

p- value = 0.00941903   

Decision:

Since 2.59592686 > 1.739606716 we reject Ho and accept Ha

Conclusion:

There is sufficient evidence that men actually do spend significantly more than women on Valentine’s Day.

Data Analysis Output:

t-Test: Two-Sample Assuming Equal Variances

Men

Women

Mean

110.9166667

75.463

Variance

828.9558

932.05969

Observations

9

10

Pooled Variance

883.5402124

Hypothesized Mean Difference

0

df

17

t Stat

2.595926855

P(T<=t) one-tail

0.009419029

t Critical one-tail

1.739606716

P(T<=t) two-tail

0.018838057

t Critical two-tail

2.109815559

For men, x-bar = 110.917 and s = 28.792

For women, x-bar = 75.463 and s = 30.530

n1 = 9, n2 = 10, x1-bar = 110.916667, x2-bar = 75.463, s1 = 28.7915925, s2 = 30.5296526    

Ha: 1 2   

Ha: 1 > 2   

Degrees of freedom = 9 + 10 - 2 = 17

Critical t- score = 1.73960672  

We will reject Ho if t > 1.73960672  

Test Statistic:    

Pooled SD, s = [{(n1 - 1) s1^2 + (n2 - 1) s2^2} / (n1 + n2 - 2)] = (((9 - 1) * 28.7915925228182^2 + (10 - 1) * 30.5296526347746^2)/(9 + 10 - 2)) = 29.72440432

SE = s * {(1 /n1) + (1 /n2)} = 29.7244043229287 * ((1/9) + (1/10)) = 13.65742128

t = (x1-bar -x2-bar)/SE = (110.916666666667 - 75.463)/13.6574212771363 = 2.595926855

p- value = 0.00941903   

Decision:

Since 2.59592686 > 1.739606716 we reject Ho and accept Ha

Conclusion:

There is sufficient evidence that men actually do spend significantly more than women on Valentine’s Day.

Data Analysis Output:

t-Test: Two-Sample Assuming Equal Variances

Men

Women

Mean

110.9166667

75.463

Variance

828.9558

932.05969

Observations

9

10

Pooled Variance

883.5402124

Hypothesized Mean Difference

0

df

17

t Stat

2.595926855

P(T<=t) one-tail

0.009419029

t Critical one-tail

1.739606716

P(T<=t) two-tail

0.018838057

t Critical two-tail

2.109815559

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