Question
A production manager feels that the output rate of experienced employee is surely greater than that of new employees but he does not expect the
A production manager feels that the output rate of experienced employee is surely greater than that of new employees but he does not expect the variability in output rates to differ for two groups. In previous output studies, it has been shown that the average unit output per hour with a variance of 56 units squared. For a group of 29 employees with 5 years' experience, the average output for this same type of work is 30 units per hour, with sample variance of 28 units squared. Does the variability in output appear to differ at the two experience level? Test the hypothesis at the 0.01 level of significance.
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