For the following problems state the random variables parame

For the following problems, state the random variables, parameters, and the null and alternative hypothesis in correct statistical notation.

a.) The cost of living index for housing was collected for 36 metropolitan areas in the

United States. For the same 36 areas, the cost of living index for groceries was also taken. Do the data indicate that the U.S. population mean cost of living index for housing is different than that for groceries in metropolitan areas?

b.) USA Today reported that about 47% of the general consumer population in the United States is loyal to the automobile manufacturer of their choice. Suppose Chevrolet did a study of a random sample of 1006 Chevrolet owners and found that 490 said they would buy another Chevrolet. Does this indicate that the population proportion of consumers loyal to Chevrolet is more than 47%?

Solution