Select one: B. The test statistic is t=4, and Critical statistic is t 0.01,69 =

Question

Select one:

B. The test statistic is t=4, and Critical statistic is t0.01,69 = 2.382

D. Since the sample size is large, the test statistic is Z=4, and Critical statistic is Z = 2.326

Two brand managers were in disagreement over the issue of whether urban homemakers had greater variability in grocery shopping pattern than did rural homemakers. To test their conflicting ideas, they took random samples of 70 homemakers from urban areas and 60 homemakers from rural areas. They found that the variance in days squared between shopping visits for urban homemakers was 14, while the sample variance for the rural homemakers was 3.5. At 0.01 level of significant, can we conclude that the urban homemakers had greater variability in grocery shopping pattern than did rural homemakers?

Select one:

A. Since test statistic is less than critical test statistic, we failed to reject the null hypothesis. At alpha = 1%, the urbam homemakers have less variability in their shopping pattern.

B. Since test statistic is less than critical test statistic, reject the null hypothesis. At alpha = 1%, the urbam homemakers have greater variability in shopping pattern.

C. Since test statistic is greater than critical test statistic, reject the null hypothesis. At alpha = 1%, the urbam homemakers have greater variability in shopping pattern.

D. Since test statistic is greater than critical test statistic, we failed to reject the null hypothesis. At alpha = 1%, the urbam homemakers have less variability in their shopping pattern.

Explanation / Answer

Null , There Is No Significance between them Ho: ^2 = ^2
Alternate , There Is Significance between them H1: ^2 != ^2
Test Statistic
Sample 1
s1^2=14, n1 =70
Sample 2
s2^2 =3.5, n2 =60
Fo =14/3.5 = 4
| Fo | =4
Critical Value
The Value of |F | at LOS 0.01 with d.f F(n1-1,n2-1)=F(69,59) is 1.84
We got |Fo| =4 & | F | =1.937
Make Decision
Hence Value of | Fo | > | F | and Here we Reject Ho

[ANSWER]
Q1.

A. The test statistic is F=4, and Critical statistic is F0.01,69,59 1.84

Q2.

C. Since test statistic is greater than critical test statistic, reject the null hypothesis. At alpha = 1%, the urbam homemakers have greater variability in shopping pattern.

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