Thursday, September 6, 2018

Question 1 Part (a) Open the “Bus Maintenance.xls” file that is posted with the Assignment. In order to test whether there is a difference in the variance of maintenance costs between buses with Diesel engines and those with gasoline engines, use Excel to carry out an “F-Test: Two-Sample for Variances” with α = 0.05. You must submit your actual Excel file with the output as part of the assignment. Part (b) Based on the F-test, what is your decision (“reject” or “do not reject”) regarding the null hypothesis that the two population variances are equal to each other? Indicate on which part of the Excel output you base your decision.

(a) I do not have a current copy of Excel. Here are the instructions to get the results from the F-Test:
(1) Enter the data into columns A and B(2) From the toolbar select Data -> Data Analysis(3) Analysis Tools -> F-Test(4) Input the ranges for A and B(5) Input the confidence level: Here since we are looking for a difference (not that one is greater/less than the other) we must use alpha/2=.025 (6) Select where you want the output to be sent.
You should get the following information:
F=1.941286452p=0.0673612091S_(x1)=71.8375172 S_(x2)=51.5592394 bar(x_1)=448.7179487 bar(x_2)=451.7 n1=39n2=30
(b)Do not reject the null hypothesis. p>.05.
If phttp://mathworld.wolfram.com/F-Distribution.html

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