Question
For a study conducted by the research department of a pharmaceutical company, 265 randomly selected individuals were asked to report the amount of money they
For a study conducted by the research department of a pharmaceutical company, 265 randomly selected individuals were asked to report the amount of money they spend annually on prescription allergy relief medication. The sample mean was found to be $17.80 with a standard deviation of$4.70. A random sample of 225 individuals was selected independently of the first sample. These individuals reported their annual spending on non-prescription allergy relief medication. The mean of the second sample was found to be 18.20 with a standard deviation of $3.90. As the sample sizes were quite large, it was assumed that the respective population standard deviations of the spending for prescription and non-prescription allergy relief medication could be estimated as the respective sample standard deviation values given above. Construct a 90% confidence interval for the difference u1-u2 between the mean spending on prescription allergy relief medication (u1) and the mean spending on non-prescription allergy relief medication (u2). Then find the lower limit and upper limit of the 90%
confidence interval.
Carry your intermediate computations to at least three decimal places. Round your answers to at least two decimal places. (If necessary, consult a list of formulas.)
Lower limit:
Upper limit:
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