Question

Mike owns a local restaurant. He wonders if a redesign of the menu will increase, on average, the amount customers spend when visiting his establishment. For the following scenarios, pick a statistical method we discussed regarding comparing two groups that would be appropriate for analyzing the problem. Indicate whether the samples would be dependent or independent, which parameter(s) is(are) relevant, and what inference method to use.

22.)  Mike randomly samples 100 people and shows both menus to each person, asking them to rate each menu from 0 (very poor) to 20 (excellent).

Answer 1

22)

In this scenario we have two samples in which observations in one sample(Rating of the old menu x_i) can be paired with observations in the other sample(Rating of the redesigned menu y_i). So these samples are dependent samples.

The parameter of our interest is the rating of each person to both the menus.

As we have the sample size greater than 30, and dependent samples, we can paired t-test inference method by calculating the difference between ratings of old menu and redesigned menu.