Suppose we were interested in determining if there were differences in the average prices among two local supermarkets. We randomly pick six items to compare at both supermarkets. Which statistical procedure would be best to use for this study?

a. Matched pairs t procedure
b. One-sample t test
c. None of the above

a. Matched pairs t procedure

Explanation:

The matched pairs t-test is used in situations where for each respondents two measurements would be taken to find reliable difference between the measurement. Two subjects  of interest  can be individually matched on one or more characteristics to  analyse the difference on the outcome of the particular characteristic or One group  may sometimes be exposed to a treatment experimentally  while  the other serves as a control group  or they may be equally exposed to the same experimental treatment to analyse thier differences.,

for example  In finding the differences in the average prices among two local supermarket using 6 items to compare, a Matched pairs t procedure should best serve for use in this study  because in this procedure, The magnitude of the t-statistic will  depend on the number of subjects( in this case six random picked items) and which in conjunction with  degrees of freedom are used to calculate the probability that the difference between the average prices in both supermarkets happened by chance.   If the probability is less than the critical alpha level, then we can conclude that  a significant difference falls between the two means.(supermarket)