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A university research team was studying the relationship between idea generation by groups with and without a moderator. For a random sample of four groups with a moderator, the mean number of ideas generated per group was 78.0, and the standard deviation was 24.4. For a random sample of four groups without a moderator, the mean number of ideas generated was 63.5, and the standard deviation was 20.2. Test the assumption that the two population variances were equal against the alternative that the population variance is higher for groups with a moderator.
Couture Jeans orders high-quality denim fabric from two different suppliers: Designer Fabrics and Cannon Cotton. Couture would like to use only one of the suppliers in the future. Due to variations in quality, Couture would need to inspect 20% of Designer’s 30-yard bolts (rolls) and 30% of Cannon’s. The following data refer to costs associated with the two suppliers.
- What is the relevant cost of purchasing form Designer Fabrics and Cannon Cotton? 2. What factors other than cost should Couture Jeans consider?