SCENARIO 10-15
the Table Below Presents the Summary Statistics for the Starting

question 234

Multiple Choice

SCENARIO 10-15
The table below presents the summary statistics for the starting annual salaries (in thousands of dollars) for individuals entering the public accounting and financial planning professions.
Sample I (public accounting) : $\bar { X } _ { 1 } = 60.35 , S _ { 1 } = 3.25 , n _ { 1 } = 12$
Sample II (financial planning) : $\bar { X } _ { 2 } = 58.20 , S _ { 2 } = 2.48 , n _ { 2 } = 14$ Test whether the mean starting annual salaries for individuals entering the public accounting professions is higher than that of financial planning assuming that the two population variances are the same.
-Referring to Scenario 10-15, which of the following represents the relevant hypotheses tested?

• A)\(H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } \geq 0 \text { versus } H _ { 1 } : \mu _ { 1 } - \mu _ { 2 } < 0\)
• B)\(H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } \leq 0 \text { versus } H _ { 1 } : \mu _ { 1 } - \mu _ { 2 } > 0\)
• C)\(H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } = 0 \text { versus } H _ { 1 } : \mu _ { 1 } - \mu _ { 2 } \neq 0\)
• D)\(H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } \neq 0 \text { versus } H _ { 1 } : \mu _ { 1 } - \mu _ { 2 } = 0\)

---

Definitions:

Skimming Pricing

A pricing strategy where a high price is initially set for a new or innovative product, with the price possibly being lowered later after the initial market demand is satisfied.

Penetration Pricing

A pricing strategy where a product is initially sold at a very low price to rapidly gain market share.

Pricing Strategies

Pricing strategies are methodologies or approaches used by companies to set the selling prices of their products or services, based on factors like cost, competition, and perceived value.

Customer Demand

The requirement for products or services from end consumers at any given time.