In Exercise X6.16 we assumed that the two population variances are equal. Conduct an appropriate test to
Question:
In Exercise X6.16 we assumed that the two population variances are equal. Conduct an appropriate test to check if the variances are equal (test at 5%).
Data from Exercises 6.16
A university finance department would like to compare the travel expenses claimed by staff attending conferences. After initial data analysis the finance director has identified two departments who seem to have very different levels of claims. Based upon the data provided (Table 6.7), undertake a suitable test to assess whether the level of claims from department A is significantly greater than that from department B You can assume that the population expenses data are normally distributed and that the population standard deviations are approximately equal.
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