Answer question - Term Paper Example

Mathematical report on the relationship between the price of a new Honda and a new Fiat Mathematical report on the relationship between the price of a new Honda and a new Fiat Aim: The main objective of this analysis is to see if there is any relationship between the price of a new Honda and a new Fiat. Hypothesis: The price of a new Honda is more expensive than the price a new Fiat. Methodology In order to carry out this investigation a systematic sampling was done (table 1 and table 2). Therefore 16 different models of ford prices and 10 different models of new Fiat prices were compared by carrying out statistical analysis using SPSS. Results and Discussion Table 1: Showing the prices of new Fiat Make Model Price Fiat Uno 6864 Fiat Tempera 10423 Fiat Typo 8272 Fiat Punto 7864 Fiat Bravo 10954 Fiat Bravo 10810 Fiat Punto 7518 Fiat Bravo 10351 Fiat Punto 8601 Fiat Cinquecento 6009 Table 2: Showing the prices of new Ford Make Model Price Ford Orion 16000 Ford Escort 8785 Ford Fiesta 7875 Ford Fiesta LX 8748 Ford Escort Duet 9105 Ford Escort 12125 Ford Escort 11800 Ford Fiesta 8680 Ford Focus 14505 Ford Puma 13230 Ford Escort 13183 Ford Mondeo 17780 Ford Fiesta 6590 Ford Escort 15405 Ford Fiesta 7310 Ford Escort 9995 RESULTS AND DISCUSSION Analysis of the sample shows that the price range of a new Fiat varies between 6009 and 10954 with a mean price of 8766.66. The mode age for the vehicle is 6009, and the median price was 8436. While, the range was 4945. On the hand the mean price of Ford is 11319 and the standard deviation was 3420 (Table 3). These results indicates that the mean price of Fiat is higher than that one for Ford. On the contrary the standard deviation of the new ford vehicles is higher than that for Fiat which means that the prices of Ford vary greatly. These may depend on the type of engine and the mileage covered. Table 3: Descriptive statistics Statistics Fiat Ford Valid 10 16 Mean 8766.6000 11319.750 Median 8436.5000 10897.500 Mode 6009.00a 6590.0a Std. Deviation 1766.48340 3420.1036 Range 4945.00 11190.0 Minimum 6009.00 6590.0 Maximum 10954.00 17780.0 Fiat sample analysis A stem and leaf analysis of the Fiat sample shows that most of the prices are above 10,000 as shown in figure 1. This is also true from the box plot. Fiat Stem-and-Leaf Plot Frequency Stem & Leaf 2.00 6. 08 2.00 7. 58 2.00 8. 26 .00 9. 4.00 10. 3489 Stem width: 1000.00 Each leaf: 1 case(s) Figure 1: Fiat Stem-and-Leaf Plot Figure 1: Fiat Stem-and-Leaf Plot Figure 3: Cumulative frequency curve for the price of New Fiat This data on the distribution of the price of New Fiat can be represented on the cumulative frequency distribution curves an in figure 3. The cumulative frequency curve does not have the characteristic “s” shape. Ford sample analysis A stem and leaf analysis of the Ford sample shows that most of the prices are above the median as shown in figure 4. This is also true from the box plot (figure 5) Ford Ford Stem-and-Leaf Plot Frequency Stem & Leaf 8.00 0. 67788899 5.00 1. 12334 3.00 1. 567 Stem width: 10000.0 Each leaf: 1 case(s) Figure 4: Ford Stem and Leaf plot Figure 5: Box plot for Ford prices Figure 6: Cumulative frequency curve for the price of New Ford. This data on the distribution of the price of New Fiat can be represented on the cumulative frequency distribution curves an in figure 6. The cumulative frequency curve does not have the characteristic “s” shape. Figure 7: Scatter plot for New Fiat and Ford Hypothesis testing In order to investigate if the price of a new Honda is more expensive. The null hypothesis was taken as Ho: µHonda = µFiat Alternate hypothesis was taken as H1: µHonda > µFiat A t-test: two sample assuming unequal variances was chosen as the best method to use because the box plots shows that the data is almost normal. A excel statistical tool was then used to generate the t-test results as shown in table 4. The critical value was taken as 0.05 Table 4: t-Test: Two-Sample Assuming Unequal Variances   Variable 1 Variable 2 Mean 8766.6 11319.75 Variance 3120464 11697108 Observations 10 16 Hypothesized Mean Difference 0 df 23 t Stat -2.49983 P(T Read More