Question
Am I on the right track??? A person wants to know whether the average gas price in County A is cheaper than that in County
Am I on the right track???
A person wants to know whether the average gas price in County A is cheaper than that in County B. He collects a sample of gas stations from each county and the data is in the Excel file "Gas prices".
Use Excel to do the following:
- For each sample, find (i) sample mean, (ii) sample variance.
County A: sample mean = 2.12, sample variance = 0.008
County B: sample mean = 2.16, sample variance = 0.006
- At the = 0.01 level of significance, use the p-value approach todetermine whether there is evidence that the population mean price of County A is less than that of County B.
This is a two-tailed test. P-value (two-tail) = 0.05>a(0.01), so there is no evidence the mean average gas price for County A is different from County B.
- At the = 0.01 level of significance, use the critical value approach todetermine whether there is evidence that the population mean price of County A is less than that of County B.
From the output, we have:
tStat -2.02358
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