Question

Wal-Mart Stores, Inc., and Payless ShoeSource, Inc., have been aggressive in stocking larger size women shoes and Nordstrom reports that its larger sizes typically sell out first. The following is a random sample of shoe sizes for twelve mothers and their daughters who shop at Nordstrom. Does the data support the Management assertion that the demand for larger show sizes has increased. Use 0.025 significance level.

	1	2	3	4	5	6	7	8	9	10	11	12
Daughter	8	8	7.5	8	9	9	8.5	9	9	8	7	8
Mother	7	7	7.5	8.5	6	7.5	7.5	7.5	8	9	8	7

1. Formulate the hypothesis (H₀ and H_a) and describe each in nontechnical language (7 pts)

2. Show the mean, rejection region and the critical value on the following graph. Show the equation for computing the standard error and the critical value(s)or test statistics. (6 pts)

3. What is your decision and why? (4 pt.)

4. Provide a conclusion in non-technical language (8 pts)

Answer 1