Allied Corporation is trying to determine whether to purchase Machine A or B. It
ID: 3385192 • Letter: A
Question
Allied Corporation is trying to determine whether to purchase Machine A or B. It has leased the two machines for a month. A random sample of 5 employees has been taken. These employees have gone through a training session on both machines. Below you are given information on their productivity rate on both machines. (Let the difference "d" be d = A - B.)
If the value of the test statistic is equal to -2.17 and the objective of the test of hypothesis is to determine whether the two machines are different at significance level of 10%, what conclusion should be drawn?
Select one:
A. Reject null hypothesis, the two machines are different
B. Reject null hypothesis, the two machines are not different
C. Fail to reject null hypothesis, the two machines are different
D. Fail to reject null hypothesis, the two machines are not different
E. None of the above answers is correct
Productivity Rate Person Machine A Machine B 1 47 52 2 53 58 3 50 47 4 55 60 5 45 53Explanation / Answer
to = -2.17
Critical Value
The Value of |t | with n-1 = 4 d.f is -2.132, 2.132
We got |to| = -2.17 & | t | =2.132
Make Decision
Hence Value of |to | < | t | and Here we Do not Reject Ho
ANS: D. Fail to reject null hypothesis, the two machines are not different
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