A tire manufacturer is interested in testing the fuel econom
A tire manufacturer is interested in testing the fuel economy for 2 different tread patterns, A and B. Tires of each tread type are driven for 1000 miles on each of 18 different cars. The mean difference in the mileage (mileage A – mileage B) was 1.74 mpg, and the standard deviation of the difference was 1.46 mpg. Calculate a 99% confidence interval for the mean difference in fuel economy. Round intermediate and final answers to two decimal place and report in the format: (1.23, 4.56)
Solution
Note that
Margin of Error E = t(alpha/2) * s / sqrt(n)
Lower Bound = X - t(alpha/2) * s / sqrt(n)
Upper Bound = X + t(alpha/2) * s / sqrt(n)
where
alpha/2 = (1 - confidence level)/2 = 0.005
X = sample mean = 1.74
t(alpha/2) = critical t for the confidence interval = 2.89823052
s = sample standard deviation = 1.46
n = sample size = 18
df = n - 1 = 17
Thus,
Margin of Error E = 0.997354448
Lower bound = 0.742645552
Upper bound = 2.737354448
Thus, the confidence interval is
( 0.74 , 2.74 ) [ANSWER]
