t-Test: Two-Sample

Assuming Unequal
Variances

Variable 1 Variable 2
Mean 24.33333 28.26667
Variance 212.9524 209.6381
Observations 15 15
Hypothesized Mean
0
Difference
df 28
t Stat -0.74105
P(T<=t) one-tail 0.232417
t Critical one-tail 1.701131
P(T<=t) two-tail 0.464834
t Critical two-tail 2.048407

a) State the hypothesis.

Ho = newspaper advertising does not affect sales
Ha = newspaper advertising does affect sales
b) Set the level of significance.

= 0.05
c) Write the critical values or region of rejection.
If t value > t crit, then reject Ho
If t value < t crit, then accept Ho
If p value ≤ 0.05, then reject Ho
If p value > 0.05, then accept Ho

Conclusion:
Since the p value (0.46) is greater than the level of significance (0.05). The null
hypothesis failed to be rejected. Therefore, the newspaper advertising does not affect
the sales.