Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ssignment Bank of America's Consumer Spending Survey collected data on annual credit card charges in seven different categories of expenditures: transportation, groceries, dining out, household

image text in transcribed
ssignment Bank of America's Consumer Spending Survey collected data on annual credit card charges in seven different categories of expenditures: transportation, groceries, dining out, household expenses, home furnishings, apparel, and entertainment. Using data from a sample of 42 credit card accounts, assume that each account was used to identify the annual credit card charges for groceries (population 1) and the annual credit card charges for dining out (population 2). Using the difference data, the sample mean difference was a = $850, and the sample standard deviation was 8c = $1,123 a. Formulate the null and alternative hypotheses to test for no difference between the population mean credit card charges for groceries and the population mean credit card charges for dining out. Ho: is equal to 0 H: Ma is not equal to 0 b. Use a 0.05 level of significance. Can you conclude that the population means differ? differ What is the p-value? (to 6 decimals) .00001 C. Which category, groceries or dining out, has a higher population mean annual credit card charge? groceries What is the point estimate of the difference between the population means? Round to the nearest whole number 879 What is the 95% confidence interval estimate of the difference between the population means? Round to the nearest whole number

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Marketing Management

Authors: Mark Johnston, Greg Marshall

3rd edition

1259637158, 978-1259637155

Students also viewed these Accounting questions

Question

What is the coefficient of determination and how is it computed?

Answered: 1 week ago