A Coffee-Dispensing Machine Is Supposed to Deliver 8 Ounces of Liquid

question 48

Multiple Choice

A coffee-dispensing machine is supposed to deliver 8 ounces of liquid into each paper cup, but a consumer believes that the actual mean amount is less.The consumer obtained a sample of 49 cups of the dispensed liquid with average of 7.75 ounces.If the sample variance of the dispensed liquid delivered per cup is 0.81 ounces, and α = 0.05, the appropriate decision is to ________.

• A)increase the sample size
• B)reduce the sample size
• C)fail to reject the 8-ounces claim
• D)maintain status quo
• E)reject the 8-ounces claim

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Definitions:

Stackable Discounts

Discounts that can be combined or "stacked" on a single purchase to provide consumers with greater savings than would be available from any single discount alone.

Selling Price

The price at which a good or service is offered to the public.

Retail Price

The cost at which a product is sold to the end consumer, including any markups by retailers.

Prisoners' Dilemma

A theoretical situation in game theory where two individuals acting in their own self-interest do not produce the optimal outcome, illustrating the potential conflict between personal and collective rationality.