TABLE 12-3
a Computer Used by a 24-Hour Banking Service

question 138

Multiple Choice

TABLE 12-3
A computer used by a 24-hour banking service is supposed to randomly assign each transaction to one of 5 memory locations. A check at the end of a day's transactions gave the counts shown in the table to each of the 5 memory locations, along with the number of reported errors.
$$\begin{array}{l}\begin{array} { l l l l l r } \hline \text { Memory Location: } & 1 & 2 & 3 & 4 & 5 \\\hline \text { Number of Transactions: } & 82 & 100 & 74 & 92&102\end{array}\\\begin{array} { l l l l l l } \text { Number of Reported Errors: } & 11 & 12 & 6 & 9 & 10\end{array}\end{array}$$ The bank manager wanted to test whether the proportion of errors in transactions assigned to each of the 5 memory locations differ.
-Referring to Table 12-3, the critical value of the test statistic at 1% level of significance is

• A) 7.7794.
• B) 23.2093.
• C) 13.2767.
• D) 20.0902.

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Definitions:

Leveraged Buyouts (LBOs)

A financial transaction in which a company is acquired using a significant amount of borrowed money to meet the cost of acquisition, often using the assets of the company being acquired as collateral.

Efficient Management

The practice of managing resources in a way that achieves maximum productivity and effectiveness with minimal waste.

All-equity Financed

Refers to a business or project that is funded exclusively through equity capital, with no debt or financial leverage involved.

Net Benefit

A measure of the total positive outcomes minus the total negative outcomes resulting from a decision or action.