Solution: The test statistic under the null hypothesis is:
Now, to find the critical values, we need to use the t distribution table at 0.01 significance level for and is given below:
Since the t statistic is less than the t critical value, we therefore fail to reject the null hypothesis and conclude that the two population means are equal.
The answer is 18 months.
Today Jan put a necklace on layaway by making a down payment of $75 and agreeing to pay $15 per month, starting next month, for 18 months.
So, she will receive the necklace in 18 months.
Layaway is a system of paying a deposit for your product to secure it for later purchase. When all your payments are done, the product is given to you.