Test the Indicated Claim About the Means of Two Populations

question 75

Essay

Test the indicated claim about the means of two populations. Assume that the two samples are independent simple random samples selected from normally distributed populations. Do not assume that the population standard deviations
are equal. Use the traditional method or P-value method as 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: $$\begin{array} { l c c } & \text { Company A } & \text { Company B } \\\hline \text { Mean response time } & 7.6 \mathrm { mins } & 6.9 \mathrm { mins } \\\text { Standard deviation } & 1.4 \mathrm { mins } & 1.7 \mathrm { mins }\end{array}$$ Use a 0.02 significance level to test the claim that the mean response time for company A is the same as the mean response time for company B. Use the P-value method of hypothesis testing.

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Definitions:

Foreign Operation

This term refers to a business or branch operation located in a country different than the headquarters or parent company.

Financial Statements

Formal records of the financial activities and position of a business, individual, or other entity.

Temporal Method

An accounting method used to translate foreign currency balances into the functional currency of a business, using exchange rates from the time the transactions occurred.

Historical Rate

The exchange rate between two currencies at the time a transaction occurred, used for translating transactions recorded in foreign currencies to the functional currency.