A study is done to compare the average value of settlements…
A study is done to compare the average value of settlements negotiated by two competing law firms on behalf of individuals who were victims in automobile accidents. 15 cases were randomly selected from each firm. Firm A cases had an average settlement of $27,565 with a standard deviation of $10,880. Firm B cases had an average settlement of $22,322 with a standard deviation of $6,674. Use this information to answer the following questions and test the claim that the average settlement of Firm A is no more than the average settlement of Firm B. Use alpha=0.10.The left critical value = [left] (round to 2 decimals – if there is no left value, enter “na”)The right critical value = [right] (round to 2 decimals – if there is no right value, enter “na”)The test statistic = [ts] (round to 2 decimals)The result of the hypothesis test is [result] (enter “reject H0” or “fail to reject H0”)Is the claim supported? [support] (enter “yes” or “no”)
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