Question: Looking for a solution to this question Most individuals are aware of the fact that the average annual repair cost for an automobile depends on
Looking for a solution to this question


Most individuals are aware of the fact that the average annual repair cost for an automobile depends on the age of the automobile. A researcher is interested in finding out whether the variance of the annual repair costs also increases with the age of the automobile. A sample of 26 automobiles 4 years old showed a sample standard deviation for annual repair costs of $171.37 and a sample of 23 automobiles 2 years old showed a sample standard deviation for annual repair costs of $118.35. Let 4 year old automobiles be represented by population 1. The data is located in the Microsoft Excel Online file below. X Open spreadsheet 1. State the null and alternative versions of the research hypothesis that the variance in annual repair costs is larger for the older automobiles. Ho:of 1 less than or equal to B2 2 Ha : o' 1 greater than 302 2 2. Conduct the hypothesis test at a 0.05 level of significance. Calculate the value of the test statistic (2 decimals). Calculate the critical value (2 decimals). Calculate the p-value (4 decimals). Reject null hypothesis? Yes What is your conclusion? Conclude that 4 year old automobiles have a larger variance in annual repair costs compared to 2 year old automobiles\f
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