a) Determine the values of * and **. b) Give the unbiased point estimate for the average monthly earning from Hyundai Vehicles. c) Give the unbiased point estimate for the variance of monthly earning from Hyundai Vehicles. d) Assuming normality, construct and interpret a 90% confidence interval for the average
A car company wants to know the monthly sales made in ($000), based on the brand of vehicle.
The data collected was entered on a MINITAB spreadsheet for analysis. Exhibit II below was
subsequently generated.
Exhibit 2
Model N Mean Median Tri.Mean Std Dev S.E. Mean
Hyundai 23 109 135 107.64 * 1.34
Toyota 27 165 124 143.65 9.5 **
a) Determine the values of * and **.
b) Give the unbiased point estimate for the average monthly earning from Hyundai Vehicles.
c) Give the unbiased point estimate for the variance of monthly earning from Hyundai Vehicles.
d) Assuming normality, construct and interpret a 90% confidence interval for the average
monthly earning from Toyota Vehicles.
e) You are required to test at the 5% level of significance the hypothesis that the average
monthly earnings on Hyundai Vehicles is equal to $110,000 versus the alternative that it is
different from $110,000.
Complete the following:
i. Give the null and alternative hypothesis of this test.
ii. Determine the critical value(s) of this test.
iii. Compute the value of the test statistic.
iv. State the decision rule.
v. Give your decision based on the available sample evidence.
vi. Hence, state your conclusion.
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