TABLE 12-14 A Filling Machine at a Local Soft Drinks Company Is

question 184

Multiple Choice

TABLE 12-14
A filling machine at a local soft drinks company is calibrated to fill the cans at an average amount of 12 fluid ounces and a standard deviation of 0.5 ounces. The company wants to test whether the standard deviation of the amount filled by the machine is indeed 0.5 ounces. A random sample of 15 cans filled by the machine reveals a standard deviation of 0.67 ounces.
-Referring to Table 12-14, what type of test should be performed?

• A) two-tailed test
• B) upper-tailed test
• C) lower-tailed test
• D) none of the above

---

Definitions:

Peak-Load Pricing

Peak-load pricing is a pricing strategy where prices are higher during periods of high demand and lower during periods of low demand to manage demand and maximize profits.

Intertemporal Price Discrimination

A pricing strategy where businesses charge different prices for the same product or service at different times to maximize profits.

Vacation Packages

Pre-arranged travel plans combining elements like accommodation, transportation, and activities into a single purchase, often offering cost savings.

Peak-Load Pricing

A pricing strategy that involves charging higher prices during periods of high demand and lower prices during periods of lower demand.