Answered step by step
Verified Expert Solution
Question
1 Approved Answer
An industrial plant wants to determine which of two types of fuel, electric or gas, is more cost efficient (measured in cost per unit
An industrial plant wants to determine which of two types of fuel, electric or gas, is more cost efficient (measured in cost per unit of energy). Independent random samples were taken of plants using electricity and plants using gas. These samples consisted of 15 plants using electricity, which had a mean cost per unit of $52 and standard deviation of $7.93, and 13 plants using gas, which had a mean of S55.30 and standard deviation of $7.99. Assume that the populations of costs per unit are normally distributed for each type of fuel, and assume that the variances of these populations are equal. Can we conclude, at the 0.05 level of significance, that the mean cost per unit for plants using electricity, u,, is less than the mean cost per unit for plants using gas, u,? Perform a one-tailed test. Then fill in the table below. Carry your intermediate computations to at least three decimal places and round your answers as specified in the table. (If necessary, consult a list of formulas. The null hypothesis: H, :0 The alternative hypothesis: H:0 OsO The type of test statistic: (Choose one) R O
Step by Step Solution
★★★★★
3.44 Rating (163 Votes )
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored 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