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yaqub yaqub
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The Department of Housing and Urban Development (HUD) would like to test the hypothesis that there is a difference in the standard deviation for the size of newly constructed houses in 2010 when compared to newly constructed houses in 2000. The following data summarizes the sample statistics for house sizes, in square feet, for both years. 



Test the hypothesis using α = 0.05.
Textbook 

Business Statistics


Edition: 2nd
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dpscool0415dpscool0415
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More questions for this book are available here
 = (350)2 = 122,500
 = (220)2 = 48,400
H0 = 
H1 ≠ 
F =  =  = 2.53
D1 = n1 - 1 = 24 - 1 = 23
D2 = n2 - 1 = 27 - 1 = 26
Fα/2 = 2.230
Because F = 2.53 is more than Fα/2 = 2.230, we reject the null hypothesis. We have enough evidence to conclude that there is a difference in the standard deviation for the size of newly constructed houses in 2013 when compared to newly constructed houses in 2003.

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