Q8 A car insurance agent was concerned about losing customer

Q8 A car insurance agent was concerned about losing customers to an online competitor. To investigate, he randomly selected profiles (type of car, coverage, driving record, etc.) for 7 of his clients and checked online price quotes for their policies. The comparisons are shown to the right. His statistical software produced the displayed summaries (where PriceDiffequals=Localminus? Online).At first, the insurance agent wondered whether there was some kind of mistake in this output. He thought the Pythagorean Theorem of Statistics should work for finding the standard deviation of the

Again and Again PLEASE DON\'t ANSWER IF YOU ARE NOT SURE 100%

Solution

This is paired data.

Hence D is the answer

The sum of variances follows only for independent variables.