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Differences in mean allowance nationally and for Ohio

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In a recent national survey, the mean weekly allowance for a nine-year-old child from his parents was $3.65. A random sample of 45 nien-year-old in northwestern Ohio revealed the mean allowance to be $3.69 with standard deviation of .24. At the .05 level of significance, is there a difference in the mean allowance nationally and the mean allowance in northwestern Ohio for nine-year-olds?

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Solution Summary

This solution uses hypothesis testing, computing the Z test statistic at the .05 level of significance to determine if there is a difference in the mean allowance nationally and the mean allowance in northwestern Ohio for nine-year-olds.

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Solution:

µ = 3.65

n = 45

xbar = 3.69

s = 0.24

Ho: There is no difference in the mean allowance nationally and the mean allowance in northwestern Ohio ...

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