Question

a. According to a recent article in USA Today, Americans spend $484 per year on alcoholic beverages. As a market research firm for a local wine distributor, you have accessed data on a random sample of 150 Boston residents to see if their spending is higher than average, and perhaps a good area for your client to make a local investment. The average spending in the sample is $404, with a standard deviation of $102. Does this represent a significant difference? Determine this using a 95% confidence level. b. According to the General Social Survey, the average age when a person's first child is born is 24.3. To determine how different urban working-class people are from the norm, you have gathered a random sample of 105 urban working-class people and found their average age when their first child is born is 22, with a standard deviation of 4.6. Are working-class people in urban areas different than Americans in general? Conduct both a one and two-tailed tests at 95% confidence levels. c. Nationally, the per capita monthly fuel oil bill is $110. A random sample of 36 cities in the Southeast averages $78, with a standard deviation of $4. Is the difference significant at a 95% confidence level? Summarize your conclusion in a sentence or two. d. A random sample of 113 felons convicted of nonviolent crimes in a state prison system completed a program designed to improve their employment possibilities before being released on parole. 58 eventually become repeat offenders. Is the recidivism rate significantly different from the rate of all offenders in that state (57%)? Summarize your conclusions in a sentence or two. (Hint: You must use the information in this problem to compute a sample proportion. Remember to convert the population percentages to a proportion.)

          a. According to a recent article in USA Today, Americans spend $484 per year on alcoholic beverages. As a market research firm for a local wine distributor, you have accessed data on a random sample of 150 Boston residents to see if their spending is higher than average, and perhaps a good area for your client to make a local investment. The average spending in the sample is $404, with a standard deviation of $102. Does this represent a significant difference? Determine this using a 95% confidence level. 
b. According to the General Social Survey, the average age when a person's first child is born is 24.3. To determine how different urban working-class people are from the norm, you have gathered a random sample of 105 urban working-class people and found their average age when their first child is born is 22, with a standard deviation of 4.6. Are working-class people in urban areas different than Americans in general? Conduct both a one and two-tailed tests at 95% confidence levels. 
c. Nationally, the per capita monthly fuel oil bill is $110. A random sample of 36 cities in the Southeast averages $78, with a standard deviation of $4. Is the difference significant at a 95% confidence level? Summarize your conclusion in a sentence or two. 
d. A random sample of 113 felons convicted of nonviolent crimes in a state prison system completed a program designed to improve their employment possibilities before being released on parole. 58 eventually become repeat offenders. Is the recidivism rate significantly different from the rate of all offenders in that state (57%)? Summarize your conclusions in a sentence or two. (Hint: You must use the information in this problem to compute a sample proportion. Remember to convert the population percentages to a proportion.)

Added by Joshua E.

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