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7.1 You may need to use the appropriate technology to answer this question. A personal tness company produces both a deluxe and a standard model
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You may need to use the appropriate technology to answer this question. A personal tness company produces both a deluxe and a standard model of a smoothie blender for home use. Selling prices obtained from a sample of retail outleis follow. Model Price ($) Retail Outlet Deluxe Standard 1 39 27 2 39 29 3 45 36 4 38 30 S 40 30 6 39 35 7 34 29 (a) The manufacturer's suggested retail prices for the two models show a $10 price differential. Use a 0.05 level of significance and test that the mean difference between the prices of the two models is $10. State the null and alternative hypotheses. (Use pd = mean price for the deluxe model mean price for the standard model.) 0 H0: [11d > 10 Ha: pd s 10 O HO: \".1 = 10 Ha: pd s 10 O HO: pd .1 10 Ha: pd = 10 O HO: u .1 = 10 Ha: pd S 10 O H\": \"d S 10 Ha: pd > 10 Calculate the value of the test statistic. (Round your answer to three decimal places.) :1 Calculate the pvalue. (Round your answer to four decimal places.) State your conclusion. 0 Do not reject H0. There is insufcient evidence to conclude that a $10 price differential exists. 0 Reject HO. There is insufficient evidence to conclude that a $10 price differential exists. 0 Do not Reject H0. There is sufcient evidence to conclude that a $10 price differential exists. 0 Reject \"0' There is sufficient evidence to conclude that a $10 price differential exists. (b) What is the 95% confidence interval for the difference between the mean prices of the two models (in dollars)? (Round your answers to nearest cent. Use the mean price for the deluxe model the mean price for the standard model.) $:lto$:lStep by Step Solution
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