Question

The mean annual premium for automobile insurance in the United States is $1,491. Being from Pennsylvania,...

The mean annual premium for automobile insurance in the United States is $1,491. Being from Pennsylvania, you believe automobile insurance is cheaper there and wish to develop statistical support for your opinion. A sample of 25 automobile insurance policies from the state of Pennsylvania showed a mean annual premium of $1,432 with a standard deviation of s = $150. If required, enter negative values as negative numbers.

a. Develop a hypothesis test that can be used to determine whether the mean annual premium in Pennsylvania is lower than the national mean annual premium.

b. What is a point estimate of the difference between the mean annual premium in Pennsylvania and the national mean (to the nearest dollar)?
$

c. At α = .05, test for a significant difference by completing the following.

Calculate the value of the test statistic (to 2 decimals).

The p-value is

- Select your answer -less than .005between .005 and .01between .01 and .025between .025 and .05between .05 and .10between .10 and .20greater than .20Item 5

What is your conclusion?

the population mean auto premium is higher/lower in Penn than the national mean.

Math   Statistics-And-Probability   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The mean annual premium for automobile insurance in the United States is $1,494. Being from Pennsylvania,...
The mean annual premium for automobile insurance in the United States is $1,494. Being from Pennsylvania, you believe automobile insurance is cheaper there and wish to develop statistical support for your opinion. A sample of 25 automobile insurance policies from the state of Pennsylvania showed a mean annual premium of $1,439 with a standard deviation of s = $150. If required, enter negative values as negative numbers. a. Develop a hypothesis test that can be used to determine whether the...
The mean annual premium for automobile insurance in the United States is $1,501. Being from Pennsylvania,...
The mean annual premium for automobile insurance in the United States is $1,501. Being from Pennsylvania, you believe automobile insurance is cheaper there and wish to develop statistical support for your opinion. A sample of 25 automobile insurance policies from the state of Pennsylvania showed a mean annual premium of $1,442 with a standard deviation of s= $155. If required, enter negative values as negative numbers. a. Develop a hypothesis test that can be used to determine whether the mean...
The ABC insurance INC. reports that the mean annual premium for automobile insurance in the United...
The ABC insurance INC. reports that the mean annual premium for automobile insurance in the United States was $1608 in summer 2018. However, you believed automobile insurance was cheaper in North Carolina and decided to develop statistical support for your opinion. A sample of 25 automobile insurance policies from the state of North Carolina showed a mean annual premium of $1560 with a standard deviation of s = $165. a. Develop a hypothesis test that can be used to determine...
The average annual premium for automobile insurance in the United States is $1526. A representative sample...
The average annual premium for automobile insurance in the United States is $1526. A representative sample of annual premiums for the state of Michigan is contained in the Excel Online file below. Assume the population is approximately normal. Construct a spreadsheet to answer the following questions. Annual Premium Formula Used 1936 Sample Size #N/A 3108 2379 Point Estimate of Mean (to the whole) #N/A 2766 2560 Standard Deviation (4 decimals) #N/A 2902 2621 Confidence Coefficient 0.95 2598 2640 Level of...
Are nursing salaries in Tampa, Florida, lower than those in Dallas, Texas? As reported by the...
Are nursing salaries in Tampa, Florida, lower than those in Dallas, Texas? As reported by the Tampa Tribune, salary data show staff nurses in Tampa earn less than staff nurses in Dallas. Suppose that in a follow-up study of  staff nurses in Tampa and  staff nurses in Dallas you obtain the following results. Enter negative value as negative number. Tampa Dallas n1=36 n2=46 x1=52,900 x2=54000 s1=5900 s2=7300 a. Formulate hypothesis so that, if the null hypothesis is rejected, we can conclude that...
Are nursing salaries in Tampa, Florida, lower than those in Dallas, Texas? As reported by the...
Are nursing salaries in Tampa, Florida, lower than those in Dallas, Texas? As reported by the Tampa Tribune, salary data show staff nurses in Tampa earn less than staff nurses in Dallas. Suppose that in a follow-up study of staff nurses in Tampa and staff nurses in Dallas you obtain the following results. Enter negative value as negative number. Tampa Dallas n1 = 39 n2 = 49 x1 = 59,100 x2 = 62,100 s1 = 9,900 s2 = 11,600 a....
Periodically, Merrill Lynch customers are asked to evaluate Merrill Lynch financial consultants and services (2000 Merrill...
Periodically, Merrill Lynch customers are asked to evaluate Merrill Lynch financial consultants and services (2000 Merrill Lynch Client Satisfaction Survey). Higher ratings on the client satisfaction survey indicate better service with 7 the maximum service rating. Independent samples of service ratings for two financial consultants are summarized here. Consultant A has 10 years of experience, whereas consultant B has 1 year of experience. Use = .05 and test to see whether the consultant with more experience has the higher population...
Question 1 Consider the following hypothesis test. H0:  1 -  2= 0 Ha:  1 -  2≠ 0 The following results...
Question 1 Consider the following hypothesis test. H0:  1 -  2= 0 Ha:  1 -  2≠ 0 The following results are from independent samples taken from two populations. Sample 1 Sample 2 n 1 = 35 n 2 = 40 x 1 = 13.6 x 2 = 10.1 s 1 = 5.5 s 2 = 8.2 a. What is the value of the test statistic (to 2 decimals)? b. What is the degrees of freedom for the t distribution? (Round down your answer to...
2. “In attempting to determine the population mean annual automobile insurance premium, you draw a sample...
2. “In attempting to determine the population mean annual automobile insurance premium, you draw a sample of 25 automobile insurance policies. This sample has a sample mean annual premium of $1440 and a sample standard deviation of s=$165. a. Construct a 99% confidence interval for the population mean annual automobile insurance premium. b. Assuming everything else is fixed, what happens to the margin of error as the sample size increases.
Health insurance benefits vary by the size of the company (the Henry J. Kaiser Family Foundation...
Health insurance benefits vary by the size of the company (the Henry J. Kaiser Family Foundation website, June 23, 2016). The sample data below show the number of companies providing health insurance for small, medium, and large companies. For the purposes of this study, small companies are companies that have fewer than  employees. Medium-sized companies have  to  employees, and large companies have  or more employees. The questionnaire sent to  employees asked whether or not the employee had health insurance and then asked the enployee to...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT