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A Consumer Advice Web Site Tested a Fuel Additive A) Compute the Test Statistic
B) Can You Conclude That

question 102

Multiple Choice

A consumer advice web site tested a fuel additive. The distance that 12 cars could travel on five gallons of gasoline was recorded without and then with the additive. The results were as follow.
 Car 123456789101112 No Additive 1761451241791391861801769015992167 With additive 18616213017914919119318410515994173\begin{array}{l|cccccccccccc}\text { Car } & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 & 10 & 11 & 12 \\\hline \text { No Additive } & 176 & 145 & 124 & 179 & 139 & 186 & 180 & 176 & 90 & 159 & 92 & 167 \\\text { With additive } & 186 & 162 & 130 & 179 & 149 & 191 & 193 & 184 & 105 & 159 & 94 & 173\end{array}

a) Compute the test statistic
b) Can you conclude that the median distance traveled with the additive difference from the median distance traveled with the additive? Use the α=0.05\alpha = 0.05 level of significance.


Definitions:

Insolvency

Inability of a person to pay her debts as they become due.

Bulk Sale

A transaction where a business sells its inventory or a significant portion of its goods all at once, usually under conditions other than the ordinary course of business.

Bankruptcy Legislation

Laws and regulations governing the process of bankruptcy, providing a legal framework for dealing with debt unable to be paid by an individual or entity.

Preference

A prioritization or favoring of certain options, creditors, or interests over others, often relevant in legal and financial contexts.

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