Catherine Chao, Director of Marketing Research, Is Evaluating Consumer Acceptance

question 35

Multiple Choice

Catherine Chao, Director of Marketing Research, is evaluating consumer acceptance of a new toothpaste package.She randomly selects a sample of 200 households.Forty households prefer the new package to all other package designs.The point estimate for this population proportion is _______.

• A)0.20
• B)0.25
• C)0.40
• D)0.45
• E)0.55

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Definitions:

Interest Rate

The percentage at which interest is paid by borrowers for the use of money they borrow from a lender.

Consumption

The process by which goods and services are used up or consumed by individuals or groups, typically leading to satisfaction of needs or wants.

Endowment

The total resources available to an individual or economy, including natural, human, and physical assets.

Utility Function

A mathematical representation of how individual preferences can be quantified over a set of goods and services, reflecting satisfaction levels from their consumption.