hourly rates (in pesos). The data is as follows: City of Manila 190 140 130 Quezon City 179 150 120 Is there sufficient evidence to indicate a difference a = 0.10? Solution: 1. State the hypotheses.

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5. The economist wants to compare the hourly rates charges by automobile mechanics in two major
cities in Metro Manila. He randomly selects auto repair facilities from both cities and records their
hourly rates (in pesos). The data is as follows:
City of Manila
190
140
130
212
205
168
135
180
Quezon City
179
150
120
156
175
160
180
200
Is there sufficient evidence to indicate a difference in the mean hourly rates from these two cities, at
a = 0.10?
Solution:
1. State the hypotheses.
но:
H1:
2. The level of significance and critical region. a =
df =
and tcritical =
3. Complete the table and compute for the value of t test.
X1
X2
(X1 –X¡)?
(X2 –X2)²
E x, =
ΣΧ
X1 =.
X2 =
E (x, -x,)' =
E(x, -x,)' =,
s,? =
tcomputed =
4. Decision Rule.
5. Conclusion:
Transcribed Image Text:5. The economist wants to compare the hourly rates charges by automobile mechanics in two major cities in Metro Manila. He randomly selects auto repair facilities from both cities and records their hourly rates (in pesos). The data is as follows: City of Manila 190 140 130 212 205 168 135 180 Quezon City 179 150 120 156 175 160 180 200 Is there sufficient evidence to indicate a difference in the mean hourly rates from these two cities, at a = 0.10? Solution: 1. State the hypotheses. но: H1: 2. The level of significance and critical region. a = df = and tcritical = 3. Complete the table and compute for the value of t test. X1 X2 (X1 –X¡)? (X2 –X2)² E x, = ΣΧ X1 =. X2 = E (x, -x,)' = E(x, -x,)' =, s,? = tcomputed = 4. Decision Rule. 5. Conclusion:
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