Question

The August Brothers Oil Company is an oil delivery company based out of East Boston. The company has been in business for over 15 years. The company delivers home heating oil and does oil burner repairs. The company has an opportunity to invest its profits into either increasing its oil delivery business or oil burner repair business. Last year the company made a profit on average of 21 cents for every gallon of heating oil it sold, and $150.00 profit on every burner it repaired. How can you use hypothesis testing to test these two disparate operations and decide where to invest the company’s profit?

Answer 1