A snack food company is trying to decide whether to manufacture a new flavour of tortilla chips
A
snack food company is trying to decide whether to manufacture a new
flavour of tortilla chips. The market research group conducted a
telephone survey of 5,000 households and found that 540 respondents
indicated that they would purchase this new flavour of tortilla chips. A
similar study conducted a year earlier showed that the level of
interest was 10%. Which of the following statements is true?
Answer:
a. At a 1% level of significance, the manufacturer should conclude that there has been an increase in the level of interest in this new flavour.
b. At a 5% level of significance, the manufacturer should conclude that there has been an increase in the level of interest in this new flavour.
c. At a 5% level of significance, the manufacturer should conclude that there has been no increase in the level of interest in this new flavour.
d. This is a one-sided test, with the rejection region in the left tail under the curve.
Answer:
a. At a 1% level of significance, the manufacturer should conclude that there has been an increase in the level of interest in this new flavour.
b. At a 5% level of significance, the manufacturer should conclude that there has been an increase in the level of interest in this new flavour.
c. At a 5% level of significance, the manufacturer should conclude that there has been no increase in the level of interest in this new flavour.
d. This is a one-sided test, with the rejection region in the left tail under the curve.
No comments:
Post a Comment