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Question
The Wall Street Journal reported that there is evidence that Mac users are shown more expensive hotel prices when using Orbitz than PC users. Perform a hypothesis test to determine if the average hotel price for Mac users on Orbitz is higher than for PC users. The following data summarizes the sample statistics for hotel prices provided to each type of user from Orbitz. Assume that the population variances are equal.| Mac | PC | |
| Sample mean | $145 | $116 |
| Sample size | 20 | 17 |
| Sample standard deviation | $35 | $32 |
Define Population 1 as Mac users and Population 2 as PC users. Construct a 98% confidence interval for the difference in population mean and interpret the results.
Answer
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