A taxi company wishe to know whether the use of radial tires instead of regular belted tires: Statistical Methods and Inference Assignment, SUSS, Singapore

Question 5

A taxi company wishe to know whether the use of radial tires instead of regular belted tires will improve fuel economy for its fleet. Twenty-five cars were equipped with radial tires and driven 100 km over a test route. Without changing drivers, the same cars were then fitted with regular belted tires and driven once again over the same 100 km route at a similar speed. The petrol consumption, in kilometers per liter, was recorded and shown in Table Q5.

Apply a suitable hypothesis test with α = 0.05 to determine if there is a difference in fuel efficiency of the cars when using radial or belted tires.

⦁ (a)  Show the name of the selected hypothesis test and justify your answer.
⦁ (b)  Formulate the null and alternative hypotheses.
⦁ (c)  Perform the hypothesis test and comment on the results of the hypothesis test.