Question

Ms. Lisa Monnin is the budget director for Nexus Media Inc. She would like to compare the daily travel expenses for the sales staff and the audit staff. She collected the following sample information. Sales ($) 125 137 147 162 136 142 Audit ($) 125 110 132 134 112 123 133 At the 0.025 significance level, can she conclude that the mean daily expenses are greater for the sales staff than the audit staff? picture Click here for the Excel Data File

State the decision rule. (Round your answer to 3 decimal places.)

Compute the pooled estimate of the population variance. (Round your answer to 2 decimal places.)

Compute the test statistic. (Round your answer to 3 decimal places.)

State your decision about the null hypothesis. Reject H0: μs ≤ μa Do not reject H0: μs ≤ μa

Estimate the p-value. Between 0.005 And 0.01 Between 0.001 And 0.005 Between 0.01 And 0.025 Between 0.025 And 0.05

Answer 1

The critical value and the p value is obtained from STATKEY (image attached for reference). The test statistic is calculated using the formula mentioned. We compare the test statistic with alpha and make the required decision.