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There are two car dealerships in a particular area. The mean monthly sales at the two dealerships are about the same. However, one of the dealerships (dealership A) is boasting to corporate headquarters that his dealership's monthly sales are more consistent. An industry analyst reviews the last seven months at dealership A and finds the standard deviation of the seven monthly sales to be 14.79. He reviews the last eight months at dealership B and finds the standard deviation of the eight monthly sales to be 22.95. Using the .01 significance level you will test to see if the analyst finds evidence that the boast of dealership A is correct. What is the value of the test statistic?
An advantage of the permutation test over the t test for a difference in means, can Permutation tests be used for tests when we believe the two populations differ under the null hypothesis.
Below are revenue and profit (both in $ billions) for nine large entertainment companies.
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Formulate the hypotheses to determine whether or not the lathe is in perfect adjustment.
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