Answered

Explore Westonci.ca, the leading Q&A site where experts provide accurate and helpful answers to all your questions. Discover reliable solutions to your questions from a wide network of experts on our comprehensive Q&A platform. Discover detailed answers to your questions from a wide network of experts on our comprehensive Q&A platform.

The manufacturer of an MP3 player wanted to know whether a 10% reduction in price is enough to increase the sales of its product. To investigate, the owner randomly selected eight outlets and sold the MP3 player at the reduced price. At seven randomly selected outlets, the MP3 player was sold at the regular price. Reported below is the number of units sold last month at the regular and reduced prices at the randomly selected outlets. Assume the population variances are equal. Hint: The reduced price is considered population 1.


Regular price 138 126 92 118 143 126 96
Reduced price 138 139 92 118 143 126 96 125
Click here for the Excel Data File

At the 0.01 significance level, can the manufacturer conclude that the price reduction resulted in an increase in sales?

a. What are the null and alternate hypotheses?

multiple choice 1
H0: μReduced ≤ μRegular; H1: μReduced > μRegular
H0: μReduced > μRegular; H1: μReduced ≤ μRegular
H0: μReduced ≤ μRegular; H1: μReduced < μRegular


b. Compute the test statistic. (Round your answers to 2 decimal places.)



c. Compute the p-value. (Round your answer to 4 decimal places.)

Sagot :

Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. We hope you found this helpful. Feel free to come back anytime for more accurate answers and updated information. We're dedicated to helping you find the answers you need at Westonci.ca. Don't hesitate to return for more.