Variance of the deposits of suburban customers


The president of a bank believes that the variance of the deposits of suburban customers is more than the variance of city customers. Below you are given the results of samples taken from suburban and city customers.

Customers Suburban Customers City Customers
s 150 90
n 21 19

a. State the null and alternative hypotheses to be tested.

b. Compute the test statistic.

c. Determine the p-value.

d. At 95% confidence, what do you conclude?

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Basic Statistics: Variance of the deposits of suburban customers
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