Question

In: Statistics and Probability

A company wants to determine whether its consumer product ratings ​(0minus−​10) have changed from last year...

A company wants to determine whether its consumer product ratings

​(0minus−​10)

have changed from last year to this year. The table below shows the​ company's product ratings from eight consumers for last year and this year. At

alphaαequals=​0.05,

is there enough evidence to conclude that the ratings have​ changed? Assume the samples are random and​ dependent, and the population is normally distributed. Complete parts​ (a) through​ (f).

Consumer

1

2

3

4

5

6

7

8

Rating left parenthesis last year right parenthesisRating (last year)

55

55

44

22

66

88

55

77

Rating​ (this year)

44

55

66

22

55

1010

88

99

Solutions

Expert Solution

In the above problem data are dependent in nature and sample size is 8 that is this is small sample problem

So we use the dependent t-test for the above question.

Ho : There is enough evidence to conclude that the ratings have changed

H1 : There is not enough evidence to conclude that the ratings have changed

We use the formula of t statistic is as below

Sr No.

A

B

d =A - B

1

55

44

11

2

55

55

0

3

44

66

-22

4

22

22

11

5

66

55

0

6

88

10

78

7

55

88

-33

8

77

99

-22

Total

= 23

​​​​​​​

This calculated value of t = 0.2359

Table value of t (=TINV(probability, degrees of freedom) in Excel then press Enter key)

=TINV(Probability, n - 1)

= TINV(0.05, 7)

= 2.3646

Table value of t = 2.3646

calculated value of t = 0.2359 < Table value of t = 2.3646

here we accept Ho

There is enough evidence to conclude that the ratings have changed.


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