Exhibit 20.5.An accountant wants to know if the property taxes paid by clients that live in the city are different from those that live in the county.The property taxes paid by five clients from the city (1)and five clients from the county (2)are shown below (in dollars). Refer to Exhibit 20.5.The value of the test statistic is:
A)10
B)21
C)34
D)55

Question

Exhibit 20.5.An accountant wants to know if the property taxes paid by clients that live in the city are different from those that live in the county.The property taxes paid by five clients from the city (1)and five clients from the county (2)are shown below (in dollars).  Refer to Exhibit 20.5.The value of the test statistic is:
A)10 
B)21 
C)34 
D)55

Quizplus · Accepted Answer

To determine if there is a significant difference in property taxes paid by clients in the city versus the county, we need to conduct a two-sample t-test. Using a calculator or software, we can input the data for city and county clients and calculate the test statistic. Without the actual data, we cannot calculate the test statistic by hand, but we can look at the options and see that B (21) is the only value that falls within a reasonable range for a two-sample t-test, which typically produces values between -3 and 3. Therefore, B is the best choice.