A Used Car Lot Owner Wanted to Estimate the Amount

question 5

Multiple Choice

A used car lot owner wanted to estimate the amount spent by customers during the summer months. She took a random sample of customers and recorded the amount they spent. A histogram showed the data was right- skewed so she took the log of each value and verified that the distribution of these values was more Normally distributed. What test/method should she use to estimate the mean amount spent during the summer months?

• A)Mann- Whitney Test
• B)Paired t- test
• C)Sign Test
• D)Data transformation and t- interval

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Definitions:

Payoff Matrix

A table that describes the possible outcomes or payoffs resulting from different strategies or decisions made by players in a strategic setting.

Nash Equilibria

Situations in a game in which each player has chosen a strategy and no player can benefit by changing strategies while the other players keep theirs unchanged.

Plant Capacity

Refers to the maximum output or production level that a facility can achieve under normal conditions.

Time-Discounted Values

The process of determining the current worth of a future sum of money or stream of income, taking into account the time value of money.