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Question

The following data represent the running times of films produced by two motion-picture companies:

CompanyTime (minutes) 1102869810992281165971349287114\begin{matrix} \text{Company} & \text{Time (minutes) }\\ \text{1} & \text{102} & \text{86} & \text{98} & \text{109} & \text{92}\\ \text{2} & \text{81} & \text{165} & \text{97} & \text{134} & \text{92} & \text{87} & \text{114}\\ \end{matrix}

Test the hypothesis that the average running time of films produced by company 2 exceeds the average running time of films produced by company 1 by 10 minutes against the one-sided alternative that the difference is less than 10 minutes. Use a 0.1 level of significance and assume the distributions of times to be approximately normal with unequal variances.

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\bullet Let x1\overline{x}_{1} denotes sample average run time of films produced by company 1.

\bullet Let μ1\mu_{1} denotes true average run time of films produced by company 1.

\bullet Let n1n_{1} denote the sample size for films produced by company 1.

\bullet Let s12s_{1}^2 denotes sample variance of running time of films produced by company 1.

\bullet Let x2\overline{x}_{2} denotes sample average run time of films produced by company 2.

\bullet Let μ2\mu_{2} denotes true average run time of films produced by company 2.

\bullet Let n2n_{2} denote the sample size for films produced by company 2.

\bullet Let s22s_{2}^2 denotes the sample variance of running time of films produced by company 2.

\star We need to determine whether the average running time of films produced by company 2 exceeds the average running time of films produced by company 1 by 10 minutes.

\star We have:

n1=5n_{1}=5,

n2=7n_{2}=7.

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