TABLE 12-3 A Computer Used by a 24-Hour Banking Service Is Supposed

question 57

Multiple Choice

TABLE 12-3
A computer used by a 24-hour banking service is supposed to randomly assign each transaction to one of 5 memory locations. A check at the end of a day's transactions gave the counts shown in the table to each of the 5 memory locations, along with the number of reported errors.
The bank manager wanted to test whether the proportion of errors in transactions assigned to each of the 5 memory locations differ.
-Referring to Table 12-3, which test would be used to properly analyze the data in this experiment?

• A) χ² test of independence
• B) χ² test for difference among more than two proportions
• C) McNemar test for the difference between two proportions
• D) McNemar test for the difference among more than two proportions

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Definitions:

Less Competitive

Characterized by a lower ability or lack of ability to rival others in the same market.

Perfect Price Discrimination

A pricing strategy where a seller charges the maximum possible price for each unit consumed that a buyer is willing to pay, capturing the entire consumer surplus.

Marginal Revenue

is the additional revenue that a company gains from selling one more unit of a good or service.

Total Revenue

The aggregate income a company receives from its selling activities, calculated by multiplying the price of goods by the number of units sold.