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QUESTION

The Bagel Company wishes to expand to Michigan and needs to decide where to locate its first store. A sample of 45 East Lansing residents (n1) spent...

The Bagel Company wishes to expand to Michigan and needs to decide where to locate its first store. A sample of 45 East Lansing residents (n1) spent an average of $52.87 a month on bagels with a variance of 8.76. A sample of 37 Ann Arbor residents (n2) spent an average of $61.98 a month on bagels with a variance of 9.21. Is there evidence that one area spends more per month than the other? Use α = .05.

What is the correct null hypothesis for this question?

Why is A but not N:u1<=u2 A: u1>u2

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