Two major computer companies manufacture and sell computer a

Two major computer companies manufacture and sell computer accessories. The prices of 5 randomly selected accessories are listed below:

The quality of the computer accessories for both companies are practically the same because both companies purchase the parts from the same wholesaler. Since the market for these accessories is very competitive, the main reason why one product would be more expensive than another would be due to brand name and the advertizing related to it.

A computer periodical claims that Macrohard products are generally more expensive than Pear Computer products. You plan to do a hypothesis test on this claim where:

H₀: Macrohard accessories are equal in price to or cheaper than Pear Computer products
H_a: Macrohard accessories are more expensive

You may find this Student\'s t distribution table useful in answering the following questions. You may assume that the differences in prices are normally distributed.

a)Calculate the test statistic (t) that is best suited in conducting this hypothesis test. Give your answer to 2 decimal places.

t =

b)According to the above data and at a level of significance of 0.01, the claim that Macrohard accessories are more expensive is justifiednot justified given the results of the hypothesis test.

Solution

(a)

The test statistic is

t=(xbar1-xbar2)/sqrt(s1^2/n1+s2^2/n2)

=(170.02-145.038)/sqrt(179.9487^2/5+147.2696^2/5)

=0.24

------------------------------------------------------------------------------------------------------------

(b)not justified