Average Childcare Costs Narrative

Essay

Average Childcare Costs Narrative
The public relations officer for a particular city claims the average monthly cost for childcare outside the home for a single child is $700. A potential resident is interested in whether the claim is correct. She obtains a random sample of 64 records and computes the average monthly cost of this type of childcare to be $689 with a standard deviation of $40.
-An Internet server claimed that its users averaged 15 hours per week. To determine whether this was an overstatement, a competitor conducted a survey of 150 customers and found that the average time spent online was 13 hours per week with a standard deviation of 6.5 hours. Do the data provide sufficient evidence to indicate that the average hours of use are less than that claimed by the first Internet server? Test at the 1% level of significance.