307 Diamonds Were Sampled and Randomly Sorted into Three Groups

question 15

Multiple Choice

307 diamonds were sampled and randomly sorted into three groups of diamonds. These diamonds were randomly assigned to one of the three organizations, or groups (HRD, GIA, or IGI) , that certify the appraisal of diamonds. A study was conducted to determine if the average size of
Diamonds reported by these three certification groups differ. A completely randomized design was used and the Bonferroni multiple comparison results are shown below.

Bonferroni All-Pairwise Comparisons Test of CARAT by CERT

$\begin{array} { l c c } \text { CERT } & \text { Mean } & \text { Bonferroni Groups } \\ \text { HRD } & 0.8129 & \text { A } \\ \text { GIA } & 0.6723 & \text { B } \\ \text { IGI } & 0.3665 & \text { C } \end{array}$
Alpha $0.05$

Give the population mean(s) which are in the statistically largest group.

• A) µHRD & µGIA
• B) µIGI
• C) µGIA
• D) µHRD

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Definitions:

Equipment

Equipment consists of the tools, machinery, and other durable assets used in the production of goods or services.

Intangible Benefits

Non-quantifiable advantages provided by goods or services, such as brand reputation or employee satisfaction.

Discount Rate

The rate used within discounted cash flow assessments to ascertain the present-day value of anticipated cash flows.

Net Present Value

A calculation that determines the value of a series of future cash flows in today's dollars, taking into account the time value of money.