Total credit card debt

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1. Eight male and eight female college students who have credit cards were surveyed and asked their total credit card debt. The responses are given below in dollars:

males

females

1000

1300

2100

200

900

1800

1200

1300

1300

1000

500

2600

1400

1400

700

500

Researchers wanted to determine if there is a difference in the mean credit card debt owed by males versus females.  Using α = 0.10, is there a difference. (Show all six steps of hypothesis testing.)

2. The listing price of a random sample of two-year-old Honda Civics was obtained for four cities in the United States. (Source: www.cars.com, accessed April 2018.) The data are summarized in the table below. Assume that prices of two-year-old Honda Civics are normally distributed. At the 5% significance level, is there a difference in the price of the cars in these cities? (Show all six steps of hypothesis testing.)

Chicago

16000

18980

21480

14999

23541

18100

Los Angeles

18915

16748

18980

16173

18667

New York

15500

13888

18880

12974

22395

22395

Honolulu

19998

17999

18988

20999

Reference no: EM132286276

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