Question

Is there evidence to conclude that the average monthly charge in the entire population of HBL bank green card is different from the average monthly charge in the entire population of Preferred Mastercard cardholders? Assume α = 0.01, σ1(s.d HBL) = 212 and σ2 (s,d Mastercard) = 185.

(Two tail)
Obtained sample data are as follows
Population 1: n1 = 1,200; mean = 452;
Population 2: n2 = 80; mean = 523;

5.1 Hypothesis are:

5.2 The calculated t value is:

5.3 The critical t value is:

5.4 The result is: (Fail to reject or Reject Null hypothesis)

5.5 The conclusion is:

Answer 1

To Test :-

H0 :- µ1 = µ2
H1 :- µ1 ≠ µ2

Test Statistic :-


Z = -3.2916

Critical value Z(α/2) = Z(0.01 /2) = 2.576

Test Criteria :-
Reject null hypothesis if | Z | > Z( α/2)
| Z | > Z(α/2) = 3.2916 > 2.576
Result :- Reject Null Hypothesis

There is sufficient evidence to support the claim that  the average monthly charge in the entire population of HBL bank green card is different from the average monthly charge in the entire population of Preferred Mastercard cardholders.