In: Statistics and Probability
This assignment covers two-sample hypothesis tests. As with
Calculator HW 5, our goal is to understand the five step
method of hypothesis testing, as well as the calculator
functions. Your work must
include:
1. Clear statement of hypotheses, with the correct
parameter(s)
2. An indication of the test used
3. The test statistic and p-value
4. An indication of the statistical decision (i.e. whether or not
to reject Ho)
along with an explanation.
5. An interpretation of the statistical decision in the context of
the problem.
Q2. Parents of teenage boys often complain that auto insurance costs more, on average, for teenage boys than for teenage girls. A group of concerned parents examines a random sample of insurance bills. The mean annual cost for 36 teenage boys was $679. For 23 teenage girls, it was $559. From past years, it is known that auto insurance rates are normally distributed for both boys and girls, and the population standard deviation for each group is s = $180. At the .01 significance level, does this data provide evidence that the mean cost for auto insurance for teenage boys is greater than that for teenage girls?