Music streaming services are the most popular way to listen to music. Data gathered over the last 12 months show Apple Music was used by an average of 1.76 million households with a sample standard deviation of 0.55 million family units. Over the same 12 months Spotify was used by an average of 2.27 million families with a sample standard deviation of 0.29 million. Assume the population standard deviations are not the same. Using a significance level of 0.02, test the hypothesis of no difference in the mean number of households picking either service. a. What are the null and alternate hypotheses? multiple choice 1 H0: μApple = μSpotify; H1: μApple ≠ μSpotify H0: μApple ≠ μSpotify; H1: μApple = μSpotify H0: μApple > μSpotify; H1: μApple ≠ μSpotify

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Music streaming services are the most popular way to listen to music. Data gathered over the last 12 months show Apple Music was used by an average of 1.76 million households with a sample standard deviation of 0.55 million family units. Over the same 12 months Spotify was used by an average of 2.27 million families with a sample standard deviation of 0.29 million. Assume the population standard deviations are not the same. Using a significance level of 0.02, test the hypothesis of no difference in the mean number of households picking either service.

a. What are the null and alternate hypotheses?

multiple choice 1

  • H0μApple = μSpotifyH1μApple ≠ μSpotify
  • H0μApple ≠ μSpotifyH1μApple = μSpotify
  • H0μApple > μSpotifyH1μApple ≠ μSpotify



b. Compute the test statistic. (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.)

 



c. Compute the p-value. (Round your answer to 4 decimal places.)

 



d. What is your decision regarding the null hypothesis?

multiple choice 2

  • Reject the H0
  • Do not reject the H0



e. Interpret the result.

 
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