A goal of financial literacy for children is to learn how to manage money wisely. One question is: How much money do children have to manage? A recent study by Schnur Educational Research Associates randomly sampled 15 children between 8 and 10 years old and 18 children between 11 and 14 years old and recorded their monthly allowance. Is it reasonable to conclude that the mean allowance received by children between 11 and 14 years is more than the allowance received by children between 8 and 10 years? Use the .01 significance level.

a. What are the null and alternate hypotheses?

b. Compute the test statistic.

c. Compute the p-value.

d. What is your decision regarding the null hypothesis?

e. Interpret the result.

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8-10 Years 11-14 Years 8-10 Years 11-14 Years 26 49 26 41 33 44 25 38 30 42 27 44 26 38 29 39 34 39 34 50 26 41 32 49 27 39 41 27 38 42 30 38 30