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QUESTION

The CEO at CCD Co. is concerned about a gender pay gap. As part of her investigation, she takes a survey of 27 engineer salaries. The results of the survey are given below. Form a 95% confidence inter

The CEO at CCD Co. is concerned about a gender pay gap. As part of her investigation, she takes a survey of 27 engineer salaries. The results of the survey are given below. Form a 95% confidence interval for the mean difference between Male and Female salaries.

Female    Male70100    6700068700    6760070900    6250066200    6970071000    6690069900    6860069600    6530067100    6680070100    6880073900    6300068300    633006320069000650006850066500

Q2. 

Two teams of workers assemble aircraft navigational systems at a manufacturing plant in Washington. Team 2 uses a new costly manufacturing system that management is considering for the entire operation. A random sample of 150 assemblies from team 1 shows 21 unacceptable assemblies. A similar random sample of 125 assemblies from team 2 shows 12 unacceptable assemblies.

(A) Is there sufficient evidence to conclude, at the 10% significance level, that the new manufacturing system reduces the number of unacceptable assemblies? Conduct the appropriate hypothesis test.

(B) Is there sufficient evidence to conclude, at the 5% significance level, that the new manufacturing system reduces the number of unacceptable assemblies? Conduct the appropriate hypothesis test.

(C) Calculate the p-value and explain how to use it for testing the null hypothesis.

(D) Would you recommend that the firm invest in the new system?

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Files: Q2.docx
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