Preliminary Data Analyses Indicate That You Can Reasonably Use Nonpooled

question 73

Essay

Preliminary data analyses indicate that you can reasonably use nonpooled t-procedures on the given data. Apply anonpooled t-test to perform the required hypothesis test, using either the critical-value approach or the P-value approachas indicated.
-A researcher was interested in comparing the response times of two different cab companies. Companies A and B were each called at 50 randomly selected times. The calls to company A were made independently of the calls to company B. The response times for each call were recorded. The summary statistics were as follows: $$\begin{array} { l l l } & \text { Company A } & \text { Company B } \\ \hline \text { Mean response time } & 7.6 \text { minutes } & 6.9 \text { minutes } \\ \text { Standard deviation } & 1.4 \text { minutes } & 1.7 \text { minutes } \end{array}$$ At the 0.02 level of significance, do the data provide sufficient evidence to conclude that the mean response time for company A differs from the mean response time for company B? Use the P-value approach.

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Definitions:

Annual EPS

The amount of a company's profit allocated to each outstanding share of common stock over a one-year period.

Continuous Growth

Refers to the exponential expansion of a variable at a constant growth rate over a period of time.

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Financial instruments that have been newly created or structured in a novel way, often to meet specific investment or financing needs.

Mortgage Originators

Individuals or institutions that work with borrowers to complete mortgage transactions, originating loans.