## Question

# Does where you live affect your insurance rate? The mean auto insurance rate for 22 drivers in a large city is $1,803 per car with

Does where you live affect your insurance rate? The mean auto insurance rate for 22 drivers in a large city is $1,803 per car with a standard deviation of $364 while the mean rate for 30 drivers in a rural area is $1,621 with a standard deviation of $213. At = 0.05, can we conclude that drivers in the large city pay higher insurance rates than those in the rural area, assuming the population variances are equal?

Calculate the test statistic.

t=

*Round to three decimal places if necessary*

**b.** Determine the critical value(s) for the hypothesis test.

- +

*Round to three decimal places if necessary*

**c.** Conclude whether to reject the null hypothesis or not based on the test statistic.

Reject

Fail to Reject

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