Question
Medicare spending per patient in different U.S. metropolitan areas may differ. Based on the sample data below, answer the questions that follow to determine whether
Medicare spending per patient in different U.S. metropolitan areas may differ. Based on the sample data below, answer the questions that follow to determine whether the average spending in the northern region is significantly less than the average spending in the southern region at the 1 percent level.
Medicare Spending per Patient (adjusted for age, sex, and race)
Statistic Northern Region Southern Region
Sample mean $4,205 $7,366
Sample standard deviation $1,429 $3,562
Sample size 12 patients 15 patients
(a-1)Choose the appropriate hypotheses. AssumeNis the average spending in the northern region andSis the average spending in the southern region.
a.H0:NS 0 versusH1:N-S>0
b.H0:NS 0 versusH1:N-S< 0
(a-2)Specify the decision rule.(Use the quick rule to determine degrees of freedom. Round your answer to 3 decimal places. A negative value should be indicated by a minus sign.)
Reject the null hypothesis iftcalc< _______
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