Question: Public Health and Nutrition The cost of long-term health care continues to rise each year, but it varies considerable from state to state. Many older adults who must enter a nursing home may select either a semi-private or private room. Several states were selected at random and the cost of each type of room was recorded.14
a. Assume normality and conduct the appropriate hypothesis test to determine whether the population mean cost of a private room is $15 greater than the population mean cost of a semi-private room. Use a = 0.001. Write a Solution Trail for this problem.
b. What characteristic of the differences suggests that the hypothesis test in part (a) will be significant?
c. Find bounds on the p value associated with this hypothesis test.