Question

n auditor for a hardware store chain wished to compare the efficiency of two different auditing...

n auditor for a hardware store chain wished to compare the efficiency of two different auditing techniques. To do this he selected a sample of nine store accounts and applied auditing techniques A and B to each of the nine accounts selected. The number of errors found in each of techniques A and B is listed in the table below:

Errors in A Errors in B
27 13
30 19
28 21
30 19
34 36
32 27
31 31
22 23
27 32


Does the data provide sufficient evidence to conclude that the number of errors in auditing technique A is fewer than the number of errors in auditing technique B at the 0.01 level of significance? Select the [Rejection Region, Decision of Reject (RH0) or Failure to Reject (FRH0)]. (Hint: the samples are dependent)

a) [z < -2.9 and -z < -2.9, FRH0]

b) [t < -2.9, FRH0]

c) [-t < 2.9 and t < 2.9, RH0]

d) [t > 2.9, FRH0]

e) [t < -2.9 or -t < -2.9, RH0]

f) none of the above

Homework Answers

Answer #1

Ho: MuA = MuB

Ha: MuA < MuB

Hence the correct ans is b) [t < -2.9, FRH0]

Hope the above answer has helped you in understanding the problem. Please upvote the ans if it has really helped you. Good Luck!!

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