A marketing consultant was hired to visit a random sample of five sporting goods stores across the state of California. Each store was part of a large franchise of sporting goods stores. The consultant taught the managers of each store better ways to advertise and display their goods. The net sales for 1 month before and 1 month after the consultant€™s visit were recorded as follows for each store (in thousands of dollars):

Do the data indicate that the average net sales improved? (Use α = 0.05.)
For each hypothesis test, please provide the following information:
(i) What is the level of significance? State the null and alternate hypotheses.
(ii) What sampling distribution will you use? What assumptions are you making? What is the value of the sample test statistic?
(iii) Find (or estimate) the P-value. Sketch the sampling distribution and show the area corresponding to the P-value.
(iv) Based on your answers in parts (i) €“ (iii), will you reject or fail to reject the null hypothesis? Are the data statistically significant at level α?
(v) Interpret your conclusion in the context of the application.

Transcribed Image Text:

Store Before visit After visit 2 94.6 101.8 4 77.4 81.2 57.1 49.2 43.2 63.5 57.8 41.9