To Test Whether or Not There Is a Difference Between

question 59

Multiple Choice

To test whether or not there is a difference between treatments A, B, and C, a sample of 12 observations has been randomly assigned to the 3 treatments.You are given the results below. $\begin{array}{lllll}\text { Treatment } &&{\text { Observations }} \\\text { A } & 20 & 30 & 25 & 33 \\\text { B } & 22 & 26 & 20 & 28 \\\mathrm{C} & 40 & 30 & 28 & 22\end{array}$
The null hypothesis is to be tested at the 1% level of significance.The p-value is

• A) greater than .1.
• B) between .05 to .10.
• C) less than .01.
• D) between .01 to .025.

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Definitions:

Net Present Value

A method used in capital budgeting to assess the profitability of an investment, calculating the difference between the present value of cash inflows and outflows over a period.

Cash Basis

An accounting method where revenue and expenses are recorded only when cash is received or paid, respectively.

Pay Back

Refers to the time period required for an investment to generate cash flows or profits to cover its initial cost.

Accounting Break-even

The point at which total costs match total revenues, indicating that a business is neither making a profit nor a loss.