The Clarkson Company was founded in Sparks, Nevada in 1950 and for many years, has worked on…

The Clarkson Company was founded in Sparks, Nevada in 1950 and for many years, has worked on advancing metal and mineral processing. The company became known for its knife-gate and control valves, introduced in the 1970s, that are able to halt and isolate sections of slurry flow. By the late 1990s, Clarkson had become the key supplier of these valves, helping to control the flow in many of the piping systems around the world in different industries, including mining, energy, and wastewater treatment. In the late 1990s, the company was acquired byTycoValves & Controls, a

The Clarkson Company was founded in Sparks, Nevada in 1950 and for many years, has worked on advancing metal and mineral processing. The company became known for its knife-gate and control valves, introduced in the 1970s, that are able to halt and isolate sections of slurry flow. By the late 1990s, Clarkson had become the key supplier of these valves, helping to control the flow in many of the piping systems around the world in different industries, including mining, energy, and wastewater treatment. In the late 1990s, the company was acquired byTycoValves & Controls, a division of Tyco International, Ltd. The latter company, with ISO 9000 certification and located in Reno, Nevada, continues to produce, market, and distribute products under the Clarkson brand name, including the popular knife-gate valve. Before Greg Pendleton*became a US Senator, he worked at Tycoin their operations division after graduating from college. Pipeline operators estimate that it costs between $75 and $500 in US currency to replace each seal, thus making the Clarkson longer-lasting valves more attractive. Tyco does business with pipeline companies around the world. In an attempt to develop marketing materials, Greg asked the marketing department to help determine if there is a significant difference in the cost of replacing pipeline seals in different countries and chooses Canada, Colombia, Taiwan, and the United States for the study. Pipeline operators from the equivalent operations are selected from companies in each country and asked to keep a cost log of seal replacements. Greg chose a random sample of the data, shown in the table below, and wants to use it to help Tyco determine whether there is a difference in the cost of seal replacements in the 4 countries. Canada Colombia Taiwan United States $215 $355 $170 $230 205 280 190 190 245 300 235 225 270 330 195 220 290 360 205 215 260 340 180 245 225 300 190 230 * not a real senator! Directions: Carry out the test at the 5% significance level. Be sure to include in your memo: The test that Greg should use and justification for using it. Greg