TABLE 10-12
the Dean of a College Is Interested in the Proportion

question 55

Short Answer

TABLE 10-12
The dean of a college is interested in the proportion of graduates from his college who have a job offer on graduation day. He is particularly interested in seeing if there is a difference in this proportion for accounting and economics majors. In a random sample of 100 of each type of major at graduation, he found that 65 accounting majors and 52 economics majors
had job offers. If the accounting majors are designated as "Group 1" and the economics majors are designated as "Group 2," perform the appropriate hypothesis test using a level of significance of 0.05.
-Referring to Table 10-12, the hypotheses the dean should use are
A) $H_{0}: \pi_{1}-\pi_{2} \leq 0$ versus $H_{1}: \pi_{1}-\pi_{2}>0$ .
B) $H_{0}: \pi_{1}-\pi_{2}=0$ versus $H_{1}: \pi_{1}-\pi_{2} \neq 0$ .
C) $H_{0}: \pi_{1}-\pi_{2} \geq 0$ versus $H_{1}: \pi_{1}-\pi_{2}<0$ .
D) $H_{0}: \pi_{1}-\pi_{2} \neq 0$ versus $H_{1}: \pi_{1}-\pi_{2}=0$ .

• A) \( H_{0}: \pi_{1}-\pi_{2} \leq 0 \) versus \( H_{1}: \pi_{1}-\pi_{2}>0 \).
• B) \( H_{0}: \pi_{1}-\pi_{2}=0 \) versus \( H_{1}: \pi_{1}-\pi_{2} \neq 0 \).
• C) \( H_{0}: \pi_{1}-\pi_{2} \geq 0 \) versus \( H_{1}: \pi_{1}-\pi_{2}<0 \).
• D) \( H_{0}: \pi_{1}-\pi_{2} \neq 0 \) versus \( H_{1}: \pi_{1}-\pi_{2}=0 \).

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Definitions:

Sequence of Decisions

A series of choices made over time, each of which may be influenced by the outcome of previous decisions in various contexts such as strategic planning or operations management.

Capacity Planning

Capacity Planning involves the process of determining the production capacity needed by an organization to meet changing demands for its products or services.

Aggregate Planning

A process by which a company determines optimal levels of capacity, production, subcontracting, inventory, stockouts, and pricing strategies over a specified time frame.

Short-Term Schedules

Plans that outline specific activities, resources, and timelines within a short timeframe, typically up to one year.