Reference no: EM132363803

Responsible Gambling MYGAME is principally engaged in the gaming business, being the pioneer and market leader in the local authorised gaming industry. Its main revenue is from operating the country's only approved lottery betting through its 56 betting stations scattered throughout the nation. Lottery betting is the activity of predicting the results of a lottery draw and placing a wager on the outcome. Due to the rising affluent of the nation, MYGAME has observed a rising trend in the amount of bet placed and the government is concerned about this trend and would like MYGAME to introduce responsible gambling initiatives. A behavioural consultant from private practice has been roped in to work with MYGAME in developing a series of responsible gambling initiatives. To test the effectiveness of the initiatives, the consultant suggested to divide the 56 outlets into two subgroups geographically, the East and the West zone, constituting 29 and 27 outlets, respectively. (Based on the past records, the amount of average daily bet for both zones are comparable with only a difference of 1%. You can assume that there is no statistically significant difference between both zones prior to the implementation of responsible gambling initiatives). The responsible gambling initiatives are to be implemented at the East Zone to test its effectiveness. At the post experiment meeting, the consultant proclaimed that the initiatives work as the there is a drop in the average daily bet amount compared to the West zone. You are the representative from the government analysing the data and your recommendation will determine whether the initiatives will be rolled out to all betting outlets. The experiment on responsible gaming initiatives was conducted for 100 days and the daily transaction amount for the East and the West Zone were collected and presented in the data file "BUS105e_GBA_Data.xlsx". Use MS Excel software to answer the following questions.

Data:

DAY EAST WEST

1 29,230.50 59,599.00 

2 24,547.50 43,971.00 

3 30,499.50 76,271.00 

4 22,179.00 39,496.00 

5 17,539.50 32,474.00 

6 12,871.50 28,243.00 

7 22,716.00 33,868.00 

8 21,712.50 40,022.00 

9 10,665.00 28,022.00 

10 20,676.00 50,903.00 

11 33,592.50 48,431.00 

12 36,580.50 37,146.00 

13 42,901.50 48,549.00 

14 35,485.50 46,498.00 

15 37,668.00 26,406.00 

16 22,227.00 38,717.00 

17 36,349.50 41,462.00 

18 39,199.50 33,557.00 

19 9,469.50 24,424.00 

20 27,861.00 56,910.00 

21 51,088.50 55,695.00 

22 44,506.50 38,517.00 

23 71,815.50 61,436.00 

24 32,713.50 53,942.00 

25 57,252.00 29,821.00 

26 30,930.00 37,046.00 

27 57,846.00 46,740.00 

28 50,182.50 47,341.00 

29 36,339.00 30,095.00 

30 41,811.00 39,602.00 

31 28,807.50 96,797.00 

32 23,761.50 78,345.00 

33 37,801.50 128,644.00 

34 19,684.50 72,660.00 

35 23,050.50 56,139.00 

36 15,570.00 70,342.00 

37 26,196.00 71,216.00 

38 28,587.00 77,790.00 

39 7,701.00 69,382.00 

40 10,134.00 41,872.00 

41 26,319.00 126,827.00 

42 21,261.00 81,409.00 

43 37,671.00 167,250.00 

44 20,623.50 72,672.00 

45 28,387.50 89,098.00 

46 18,033.00 81,341.00 

47 30,106.50 108,874.00 

48 30,624.00 92,752.00 

49 15,180.00 90,437.00 

50 30,418.50 106,310.00 

51 74,733.00 10,584.00 

52 58,915.50 6,276.00 

53 102,294.00 9,178.00 

54 41,709.00 7,100.00 

55 69,271.50 5,256.00 

56 45,045.00 6,963.00 

57 72,936.00 6,575.00 

58 71,679.00 6,565.00 

59 62,442.00 4,635.00 

60 92,398.50 13,947.00 

61 55,872.00 12,029.00 

62 53,494.50 8,003.00 

63 88,192.50 11,816.00 

64 35,406.00 9,927.00 

65 56,374.50 7,367.00 

66 33,751.50 8,867.00 

67 57,634.50 8,539.00 

68 54,727.50 10,014.00 

69 34,839.00 5,345.00 

70 79,266.00 14,875.00 

71 24,951.00 25,973.00 

72 28,519.50 27,126.00 

73 30,376.50 33,402.00 

74 28,222.50 22,799.00 

75 21,991.50 20,169.00 

76 21,148.50 21,900.00 

77 30,769.50 26,489.00 

78 30,768.00 23,639.00 

79 5,797.50 9,091.00 

80 9,882.00 12,390.00 

81 39,513.00 11,107.00 

82 44,350.50 10,680.00 

83 42,129.00 9,325.00 

84 34,113.00 11,140.00 

85 38,361.00 6,616.00 

86 28,929.00 11,094.00 

87 37,332.00 10,339.00 

88 43,011.00 9,905.00 

89 5,589.00 2,698.00 

90 13,881.00 3,884.00 

91 16,057.50 38,632.00 

92 11,796.00 32,216.00 

93 15,732.00 42,262.00 

94 17,998.50 23,861.00 

95 13,122.00 34,669.00 

96 14,760.00 26,277.00 

97 19,246.50 40,616.00 

98 17,574.00 30,491.00 

99 5,229.00 16,975.00 

100 8,577.00 23,254.00 

As a trained statistician, you decide to perform a hypothesis test to further evaluate the effectiveness of the responsible gambling initiatives using the data collected, that is whether the East Zone is experiencing a lower average daily bet amount compared to the West Zone over the trial period. You should include the following:

(a) State the null and alternative hypotheses and explain how you develop these two (2) hypotheses.

(b) Execute the hypothesis test with α = 0.05 using Excel. Present and list the test statistic you use for this test. Explain your decision criteria and inform the outcome to your department director.

(c) Discuss the assumptions you have made in performing the hypothesis test. Are these assumptions reasonable for this case? Please provide explanation(s) to substantiate your view.