A new small engine claims that it can get more miles per gallon (MPG) than the competitor's

Question:

A new small engine claims that it can get more miles per gallon (MPG) than the competitor's model. To verify this claim, a random sample of seven engines of each type are put through a series of tests and the fuel efficiency (in MPG) is given in Table 5.17.

a. Does the new engine have better fuel efficiency?

b. What is the estimated difference in the MPG between the two engines?

c. Is the variance in the MPG of the new model less than the variance in the MPG of the competitors?

d. How big of a sample would be needed to detect a variance ratio of at least 1.10?

Table 5.17

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