Question

A statistical analyst for the Wall Street Journal randomly selected six companies and recorded both the price per share of stock on January 1, 2009 and on April 30, 2009. The results are presented below. Suppose the analyst wished to see if the average price per share of stock on April 30, 2009 is less than the average price per share of stock on January 1, 2009 at α=.01.

Apr. 30, 2009	42	32	34	23	19	18
Jan. 1, 2009	40	27	33	32	34	38

For the hypothesis stated above, what is the P-value?

	a.	.005 < P-value < .01
	b.	None of the answers is correct
	c.	.90 < P-value < .95
	d.	.05 < P-value < .10
	e.	.10 < P-value < .50

Answer 1

First we will check whether we will use T-test (Two sample ) with equal variances or unequal variances

for that F-test is required I am using Excel for that

Excel > Data > Data analysis > F -test > select data > ok

P-value is greater than 0.01 so, we can conclude that the variances are equal

so. T- test with equal variances can be used here.

__________________________________________________

P-value = 0.098

so, in Interval form

d.

0.05 < P-value < .10

So, ANSWER = (d)