Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
A statistician wants to do a hypothesis test to see if the variance of real estate taxes in one city is significantly greater than it
A statistician wants to do a hypothesis test to see if the variance of real estate taxes in one city is significantly greater than it is in another. She takes a sample of 16 from population 1 and determines the sample variance to be 5.8 (in thousands) and then takes a sample of 21 from population 2 and determines the sample variance there to be 2.4 (in thousands) which is obviously smaller than the variance in the other city. Perform the appropriate hypothesis test and then answer the following question: What conclusion should be drawn? There is NOT enough evidence to conclude that the variance of 5.8 is significantly greater than the variance of 2.4 at any reasonable level of significance. There is enough evidence to conclude that the variance of 5.8 is significantly greater than the variance of 2.4 at the 0.05 level of significance. There is enough evidence to conclude that the variance of 5.8 is significantly greater than the variance of 2.4 at the 0.025 level of significance. There is enough evidence to conclude that the variance of 5.8 is significantly greater than the variance of 2.4 at the 0.01 level of significance. There is enough evidence to conclude that the variance of 5.8 is significantly greater than the variance of 2.4 at the 0.001 level of significance. 5
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started