A manufacturer produces both a deluxe and a standard model of an automatic sande

Question

A manufacturer produces both a deluxe and a standard model of an automatic sander designed for home use. Selling prices obtained from a sample of retail outlets follow. a. The manufacturer's suggested retail prices for the two models show a $10 price differential. Use a 05 level of significance and test that the mean difference between the prices of the two models is $10. Develop the null and alternative hypotheses. H_0 = mu d H_a = mu d Calculate the value of the test statistic. If required enter negative values as negative numbers. (to 2 decimals) The p-value is Can you conclude that the price differential is not equal to $10? b. What is the 95% confidence interval for the difference between the mean prices of the two models (to 2 decimals)?

Explanation / Answer

The null hypothesis is

HO: ud equal to 10

Ha: ud not equal to 10

Df is n-1 = 7-1=6

Two tailed test

T value = -1.11

Then the corresponding p value at 0.05 los is

p = 0.309493

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.