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Friday the 13thRefer to Exercise 88.

a. Construct and interpret a 90%confidence interval for the true mean difference. If you already defined parameters and checked conditions in Exercise 88, you don鈥檛 need to do them again here.

b. Explain how the confidence interval provides more information than the test in Exercise 88.

Short Answer

Expert verified

The genuine difference in the number of shoppers at each retailer on these two days is between 1.8156and91.1844 shoppers lower on Friday the 6th than on Friday the 13th, according to our 90 percent confidence level.

Step by step solution

01

Part a: Step 1: Given Information

We have been given that

n=Samplesize=45,xd=Meandifferences=-46.5,sd=Standarddeviationofdifferences=178.0,c=Confidencelevel=90%=0.90

02

Part a: Step 2: Simplification

Random, Independent (ten percent condition), and Normal/Large sample are the three criteria for determining a confidence interval for the population mean difference.

Because the sample is a random sample, I'm satisfied.

Independent: Satisfied, because the sample of 45grocery stores represents less than ten percent of the total number of grocery stores (assuming that there are more than 450grocery stores).

Satisfied with the sample size of 45because it is at least 30and hence the sample is substantial.

Because all of the prerequisites have been met, it is time to calculate the confidence interval for the population mean difference.

We now determine the t-value by looking in the row starting with degrees of freedom df=n-1=451=44(the table does not contain df=44, so we will use the nearest smaller degrees of freedom df=40instead) and in the column with c=90%in the table of the Student's T distribution:

t/2=1.684

The margin of error is then:

E=44.6844

The confidence interval's boundaries then become:

xE=-46.544.6844=-91.1844

x+E=-46.5+44.6844=-1.8156

We are 90%confident that the true difference in the number of shoppers at each store on these two days is between 1.8156and 91.1844, lower on Friday the6ththan on Friday the 13th.


03

Part b: Step 1: Given Information

We have to find how the confidence interval provides more information than the test .

04

Part b: Step 2: Explanation

Because the confidence interval provides a range of possible values for the true mean difference, whereas the significance test only tests one, the confidence interval provides more information than the significance test.

The confidence interval for the true mean difference offers us a range of possible values, but the significance test simply tests one possible value for the true mean difference.

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