SOLUTION: Hi, I was asked to develop a numerical and verbal hypothesis statement and I have but cannot work it. Can someone help me? Here is the hypothesis statement. 1. as part of a stud

Question 135011: Hi, I was asked to develop a numerical and verbal hypothesis statement and I have but cannot work it. Can someone help me? Here is the hypothesis statement.
1. as part of a study of blue collard citizens, the Director of Human Resources for Whitner Autoplex Car Sales wants to compare the amount of older blue collard citizens purchasing expensive vehicles from Whitner Autoplex, verses those younger in age, purchasing inexpensive vehicles.
A sample of 17 citizens over the age of 50 purchased expensive vehicles, with the mean being 35.925 and with the standard deviation of 80 vehicles sold per month. A sample of 64 citizens under the age of 50 purchased inexpensive vehicles, with the mean being 15.546 and the standard deviation of 70 vehicles sold per month.
At the .05 significance level, is there a difference in the mean number of older citizens, verses the younger citizens, purchasing vehicles at a high rate? The company will use the five-step hypothesis procedure to show the general manager the outcome of sales.

Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
1. as part of a study of blue collard citizens, the Director of Human Resources for Whitner Autoplex Car Sales wants to compare the amount of older blue collard citizens purchasing expensive vehicles from Whitner Autoplex, verses those younger in age, purchasing inexpensive vehicles.
A sample of 17 citizens over the age of 50 purchased expensive vehicles, with the mean being 35.925 and with the standard deviation of 80 vehicles sold per month. A sample of 64 citizens under the age of 50 purchased inexpensive vehicles, with the mean being 15.546 and the standard deviation of 70 vehicles sold per month.
At the .05 significance level, is there a difference in the mean number of older citizens, verses the younger citizens, purchasing vehicles at a high rate? The company will use the five-step hypothesis procedure to show the general manager the outcome of sales.
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Since your mean refers to cost of the vehicles and not the number of vehicles
purchased, the standard deviations must refer to cost.
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Older citizens purchase:
n= 17 ; mu1=35925; s1= $2000, or whatever you want to make it.
--------------------
Younger citizen purchase:
n=64 ; mu2=15546; s2 = $1500, or whatever you want to make it.
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Now you can do a 2-Sample Z or 2-Sample T test (whatever you are
being taught to use) on mu1-m2.
---------------------
Cheers,
Stan H.
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