Steve and Sue, both being relatively short, have always felt they and their shorter than average friends were getting shorted in pay. They hire you to do some analysis. You divide the population into shorter than average (Shorts) and taller than average (Talls). (Probably don't refer to your friends in these terms, this is only to help you quickly talk about the samples) Your Shorts sample of 8 people earns on average $17 an hour with a standard deviation of $3. The Talls sample of 10 people earn an average of $19 an hour with a standard deviation of $4. a) Showing your work, calculate the t-statistic if we can assume the two sampled populations have equal standard deviations. b) Showing your work, calculate the t-statistic if we cannot make the assumption from part a. c) Would the Paired t-test would be useful in this situation? Briefly Explain.

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Steve and Sue, both being relatively short, have always felt they and their shorter than average friends were getting
shorted in pay. They hire you to do some analysis.
You divide the population into shorter than average (Shorts) and taller than average (Talls). (Probably don't refer to your
friends in these terms, this is only to help you quickly talk about the samples)
Your Shorts sample of 8 people earns on average $17 an hour with a standard deviation of $3. The Talls sample of 10
people earn an average of $19 an hour with a standard deviation of $4.
a) Showing your work, calculate the t-statistic if we can assume the two sampled populations have equal standard
deviations.
b) Showing your work, calculate the t-statistic if we cannot make the assumption from part a.
c) Would the Paired t-test would be useful in this situation? Briefly Explain.
Transcribed Image Text:Steve and Sue, both being relatively short, have always felt they and their shorter than average friends were getting shorted in pay. They hire you to do some analysis. You divide the population into shorter than average (Shorts) and taller than average (Talls). (Probably don't refer to your friends in these terms, this is only to help you quickly talk about the samples) Your Shorts sample of 8 people earns on average $17 an hour with a standard deviation of $3. The Talls sample of 10 people earn an average of $19 an hour with a standard deviation of $4. a) Showing your work, calculate the t-statistic if we can assume the two sampled populations have equal standard deviations. b) Showing your work, calculate the t-statistic if we cannot make the assumption from part a. c) Would the Paired t-test would be useful in this situation? Briefly Explain.
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