Confidence interval for the difference in mean pizza

Assignment Help Business Economics
Reference no: EM133124492

A college sorority is trying to decide which of two competing pizza chains to select for a sole-source pizza contract over the next five years. Agatha, the sorority president, claims that all pizza tastes the same, so the decision should be based purely on price. Several newer members disagree and feel that taste can indeed vary from pizza chain to pizza chain. Fortunately, the sorority has some recent pizza tastiness data available, in the form of the following summary data based on seven scores on a pizza tastiness scale of O through 20 for Chain A and a further seven scores on the same scale for Chain B:

x^-A = 9.386,x^-b = 14.029 SA = 3.044 Sb= 3.502

Assuming that the two samples of pizza tastiness scores can be treated as independent samples and that the population variance of pizza tastiness is equal across the two chains:

a) Use an appropriate hypothesis test to see whether there appears to be a difference in pizza tastiness between the pizza from Chain A and the pizza from Chain B. Use a 5% significance level.

b) Calculate a 90% confidence interval for the difference in mean pizza tastiness across the two chains.

c) Repeat parts a) and b), but this time assume that the samples of pizza tastiness scores must be treated as being paired, rather than independent. (The mean paired difference, d, is -4.643 and the sample standard deviation for the paired differences, is 4.927)

Reference no: EM133124492

Questions Cloud

How does bernanke make sense of lower economic volatility : How does Bernanke make sense of lower economic volatility? Is his position convincing?
How many walkers have to participant in the walk : To encourage people to participant, each walker is given a T-Shirt that costs WFK $8.00. How many walkers have to participant in the walk for the event
Conduct research to develop existing products : A company must have a good strategic plan and every strategic plan made must be in accordance with macro and micro conditions. PT. Maju Bersama is a company eng
Confidence interval for average full-time attendance : A sample of 160 colleges is taken and the average number of full-time students is found to be 25,476.69. The standard deviation for full-time attendance at ALL
Confidence interval for the difference in mean pizza : A college sorority is trying to decide which of two competing pizza chains to select for a sole-source pizza contract over the next five years.
Did vaughn overreact to walker admission : Did Vaughn overreact to Walker's admission that she had been untruthful regarding the CPA exam? If so, what is the other way to dealt with the situation
Use demand supply graphs to substantiate : In general taxes are not favoured by economists. Give the rationale for this and use demand supply graphs to substantiate your answer.
Determine probability that customer who wants doughnut : The customers at the Take-A-Break Café always want one of two hot beverages, either tea (T) with probability P(r) = 0.60 or coffee (C) with probability P(C) = 0
Create t-accounts for each arrangement : Diversified sells the Super Soaker directly to commercial customers for $1,300 a unit. Create T-accounts for each arrangement

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd