# Test of hypothesis for dependent samples

Blockbuster is testing a new policy of waiving all late fees on DVD rentals using a sample of 10 randomly chosen customers.

(a) At alpha= .10, does the data show that the mean number of monthly rentals has increased?

(b) Is the decision close ?

(c) Are you convinced?

DVDRental

Customer No Late fee Late fee

1 14 10

2 12 7

3 14 10

4 13 13

5 10 9

6 13 14

7 12 12

8 10 7

9 13 13

10 13 9

https://brainmass.com/statistics/hypothesis-testing/test-of-hypothesis-for-dependent-samples-222337

#### Solution Preview

Blockbuster is testing a new policy of waiving all late fees on DVD rentals using a sample of 10 randomly chosen customers.

(a) At alpha (a) = .10, does the data show that the mean number of monthly rentals has increased?

(b) Is the decision close ?

(c) Are you convinced?

Customer No Late fee Late fee

1 14 10

2 12 7

3 14 10

4 13 13

5 10 9

6 13 14

7 12 12

8 10 7

9 13 13

10 13 9

(a) At alpha (a) = .10, does the data show that the mean number of monthly rentals has increased?

First we calculate the mean and standard deviation of difference

Customer No Late fee Late fee "Difference

"

1 14 10 4

2 12 7 5

3 14 10 4

4 13 13 0

5 10 9 1

6 13 14 -1

7 12 12 0

8 10 7 3

9 13 13 0

10 13 9 4

Calculation of Mean ...

#### Solution Summary

Uses t test for dependent samples to test the hypothesis that the mean number of monthly rentals has increased.