Week 6 - Group Assignment

The hypothesis test will tell Dyeus Airlines if overall flight cost in comparison to all other airlines, compared to overall cost of passengers with less baggage fees, and having the potential of fewer flight delays. In this hypothesis test Dyeus Airlines will test business class traveler with one checked bag at a rate of $25, and a business class traveler with two carryon bags. The dependent variable would be flight cost with checked bags, and the independent variable would be cost with a carryon bag.

The hypothesis test used in this research is t-test two-sample assuming unequal variances, this test along with the research questions and the two variables, will give Dyeus Airlines the information needed to consider if they should discontinue charging for checked bags. Research questions used are:

· How many times a week do business class travelers travel?

· How many bags do they carry on?

The method of hypothesis testing used is t-test two sample assuming unequal variances. This will help Dyeus Airlines in their decision on whether or not to continue with charging for checked bags. Dyeus Airline will have to consider fuel cost, time loading and unloading passengers from the plane, and losing a portion of transportation fees that would be received from the federal excise tax.

Descriptive Statistics: Checked bags/ Carryon

Variable Percent Mean StDev Min Q1 Median Q3 Max

Check bag 551.75 90.77 16.01 99 151.1 172 180 234

Carryon 466 74.68 2.40 18 16 17 20 74

N for

Variable Range IQR Mode Mode

Check bag 151.1 39.2 NA NA

Carry on 16 25.5 2 18

CI for Two Variances: Price, Distance

Method

Null hypothesis σ (Weight) / σ (Age) = 1

Alternative hypothesis σ(Weight ) / σ(Age) ≠ 1

Significance level α =

F method was used.

Statistics

95% CI for

Variable N StDev Variance

Check bag 155 16.01 14435.36

Carryon 30 2.40 11771

Ratio of standard deviations =

Ratio of variances =