Use the Following Information to Answer the Question

question 25

Multiple Choice

Use the following information to answer the question. Researchers want to test whether the color of a vehicle ticketed for speeding has an effect on the amount of the ticket. Four vehicle colors were used for the study-- red, white, black, and silver. Thirty vehicles were randomly assigned to each group. Use the output below to answer the question.

-Choose the correct conclusion for the hypothesis that vehicle color affects the amount of a speeding ticket. Assume all ANOVA test conditions have been satisfied.

• A)Reject H0. The vehicle color has no effect on the amount of the speeding ticket.
• B)Fail to reject H0. The vehicle color has no effect on the amount of the speeding ticket.
• C)Reject H0. The vehicle color has an effect on the amount of the speeding ticket.
• D)Fail to reject H0. The vehicle color has an effect on the amount of the speeding ticket.

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Definitions:

Structural

Relating to the underlying or foundational aspects or structures of a system, organization, or building.

Lump-Sum Tax

A tax that is a fixed amount and does not vary with the taxpayer's income or consumption levels.

Proportional Tax

A tax system where the tax rate remains constant regardless of the amount subject to tax, meaning everyone pays the same proportion of their income.

Regressive Tax

A tax imposed in such a manner that the tax rate decreases as the amount subject to taxation increases, disproportionately affecting lower-income individuals.