Section Exercise

The average mpg usage for a 2009 Toyota Prius for a sample of 7 tanks of gas was 43.5 with a standard deviation of 1.8. For a 2009 Honda Insight, the average mpg usage for a sample of 7 tanks of gas was 39.9 with a standard deviation of 2.0.

Assuming equal variances, at α = 0.05, is the true mean mpg lower for the Honda Insight? 

(a-1) Choose the appropriate hypotheses. 

a.H₀: μ_toy - μ_hon ≤ 0 vs. H₁: μ_toy - μ_hon > 0. Reject H₀ if t_calc > 1.782

b.H₀: μ_toy - μ_hon ≤ 0 vs. H₁: μ_toy - μ_hon > 0. Reject H₀ if t_calc < 1.782

c.H₀: μ_toy - μ_hon ≥ 0 vs. H₁: μ_toy - μ_hon < 0. Reject H₀ if t_calc < - 1.782

d.H₀: μ_toy - μ_hon ≥ 0 vs. H₁: μ_toy - μ_hon < 0. Reject H₀ if t_calc > - 1.782   abcd 

(a-2) Calculate the t_calc. (Round your answer to 4 decimal places.) 

t_calc

(a-3) Based on the t_calc determined, choose the correct decision.  

A. Fail to reject the null hypothesis

B. Reject the null hypothesis 

(a-4) Is the true mean mpg lower for the Honda Insight?   

A. Yes

B. No 

(b) Calculate the p-value using Excel. (Round your answer to 4 decimal places.)