1250 1000 750 500 -200 0 200 Price Diff ($) -400 Local Online Premium ($) # of Premiums 2.

Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter3: Functions And Graphs
Section3.6: Quadratic Functions
Problem 12E
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Question
Online insurance II In Exercise 11, we saw summary
statistics for 10 drivers’ car insurance premiums quoted
by a local agent and an online company. Here are dis-
plays for each company’s quotes and for the difference
(Local – Online):
a) Which of the summaries would help you decide whether
the online company offers cheaper insurance? Why?
b) The standard deviation of PriceDiff is quite a bit
smaller than the standard deviation of prices quoted by
either the local or online companies. Discuss why.
c) Using the information you have, discuss the assump-
tions and conditions for inference with these data.
1250
1000
750
500
-200 0 200
Price Diff ($)
-400
Local
Online
Premium ($)
# of Premiums
2.
Transcribed Image Text:1250 1000 750 500 -200 0 200 Price Diff ($) -400 Local Online Premium ($) # of Premiums 2.
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