The Following Information Regarding the Yearly Salaries in $1,000) of CEO's

question 193

Essay

The following information regarding the yearly salaries in $1,000) of CEO's in 2010 and 2009 are provided.
$\begin{array}{|l|c|c|}\hline & \text { Year 2010 } & \text { Year 2009 } \\\hline \text { Sample size } & 190 & 145\\\hline \text { Sample Mean } & 560 & 540 \\\hline \text { Population Standard Deviation } & 80 & 90 \\\hline\end{array}$
a. At 95% confidence, perform a test to determine if there has been a significant increase in the
salaries of CEO's. Use the Critical Value Approach.
b. Compute the p-value.

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Definitions:

Social Loafing

The phenomenon where individuals exert less effort to achieve a goal when they work in a group than when they work alone.

Groupthink

A phenomenon in group decision-making where the desire for harmony or conformity results in an irrational or dysfunctional outcome.

Group Polarization

The tendency of group members to make decisions that are more extreme than the initial inclinations of its members.

Social Facilitation

The tendency for people to perform differently when in the presence of others than when alone, typically improving on simple tasks.