A ski company in Vail owns two ski shops, one on the west side and one on the east side of Vail. Ski hat sales data (in dollars) for a random sample of 5 Saturdays during the 2004 season showed the following results. Is there a significant difference in sales dollars of hats between the west side and east side stores at the 10 percent level of significance

If t (critical) + 1.86 we will have to reject the null.

Explanation:

What we actually want to know is the difference in the sales between the east and the west sides.

From the question, we are to work with a 10 percent level of significance that is 0.1 level of significance. Where the percent level of significance is represented by "h".

The Hypothesis for this is given in the question below;

Hj: μd = 0.

Hi: μd ≠ 0.

Or

Hj : μ (east) = μ (west).

Hi : μ (east) ≠ μ (west).

The value for t (critical) = + / - t (c/2) {df = n1 + n2 - 2 }.

[ Note that c/2) is a subscript of t and c =.1].

t (critical) = + / - t (0. O5) [ df = 5 + 5 - 2].

t (critical) = + 1.86 or - 1.86