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:

Modified Accrual Accounting

An accounting method that combines aspects of both accrual and cash accounting, recognizing revenues when they are earned and expenses when they are incurred or paid.

Long-Term Debt

Financial obligations of a company that are due more than one year in the future, often including bonds, mortgages, and leases.

Permanent Fund

A fund established by a government or organization meant to provide a permanent source of income.

Endowed Gift

A donation made to an institution with the stipulation that the principal is kept intact and only the investment income is used.