A Local Charity Believes They Receive More Money from People $\alpha = 0.01$

question 31

Essay

A local charity believes they receive more money from people in the River Heights neighborhood than from people in the Lakeview neighborhood. They conducted a survey of 24 people randomly selected form each neighborhood and recorded the results. At $\alpha = 0.01$ , is their hypothesis correct?
$\begin{array}{cc}\hline \text { River Heights } & \text { Lakeview } \\\hline \bar{X}_{1}=\$ 35 \text { /person } & \bar{X}_{2}=\$ 25 / \text { person } \\s_{1}=\$ 5 / \text { person } & s_{2}=\$ 8 / \text { person } \\n_{1}=24 & n_{2}=24\end{array}$

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Definitions:

Heart Disease

A broad term for various conditions affecting the heart's structure and function, leading to health complications.

Inflammation

When bodily tissues swell in response to a perceived or real threat.

Swell

A term often used to describe a long wave on the water's surface that has traveled a great distance.

Perceived Threat

The subjective interpretation of a potential harm or danger, influencing an individual's response and behavior towards it.