SCENARIO 10-11
the Dean of a College Is Interested in the Proportion

question 80

Multiple Choice

SCENARIO 10-11
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 Scenario 10-12,the hypotheses the dean should use are:

• A)H₀: \(\pi\)₁ - \(\pi\)₂ = 0 versus H₁: \(\pi\)₁ -\(\pi\)₂ \(\neq\) 0
• B)H₀: \(\pi\)₁ - \(\pi\) ₂ \(\neq\) 0 versus H₁: \(\pi\)₁ - \(\pi\) ₂ = 0
• C)H₀: \(\pi\)₁ - \(\pi\) ₂ \(\le\) 0 versus H₁: \(\pi\)₁ - \(\pi\) ₂ > 0
• D)H₀: \(\pi\)₁ - \(\pi\) ₂ \(\ge\) 0 versus H₁: \(\pi\)₁ - \(\pi\) ₂ < 0

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Definitions:

Medical Fees Earned

Medical Fees Earned refers to revenue generated by healthcare providers for services rendered to patients.

Permanent Account

An account in the general ledger that is not closed at the end of the accounting year, including accounts like asset, liability, and equity accounts.

Nominal Account

A temporary account that records transactions related to expenses, revenues, gains, and losses during an accounting period.

Zero Account

A banking or accounting term referring to an account that has a balance of zero, meaning it has no funds.