1.An insurance company wants to test the hypothesis that the mean amount of life insurance held by professional men equals that held by professional women. Accordingly, two independent simple random samples are taken from appropriate professional listings of men and women. The sample of 200 men reveals a mean amount of $140,000 with a standard deviation $26,000. The sample of 400 women shows a mean amount of $138,000 with a standard deviation of $3,000.Test the hypothesis using a 0.05 significance level.

i.State the null and alternative hypothesis

ii.Calculate the test statistic

iii.Present your conclusion and describe how you reached that conclusion

iv.Construct the 95% confidence interval for the difference in mean amount of life insurance held by professional men and women.

v.Explain how to use the 95% confidence interval to test the appropriate hypotheses at = 0.05.