SCENARIO 13-12 The Manager of the Purchasing Department of a Large Saving

question 179

Multiple Choice

SCENARIO 13-12
The manager of the purchasing department of a large saving and loan organization would like to develop a model to predict the amount of time (measured in hours) it takes to record a loan application. Data are collected from a sample of 30 days, and the number of applications recorded and completion time in hours is recorded. Below is the regression output:




-Referring to Scenario 13-12,the 90% confidence interval for the mean change in the amount of time needed as a result of recording one additional loan application is

• A)wider than [0.1492,0.6555].
• B)narrower than [0.1492,0.6555].
• C)wider than [0.0109,0.0143].
• D)narrower than [0.0109,0.0143].

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Definitions:

Marginal Propensity

The tendency of an individual or population to consume or save an extra unit of income.

Lump-Sum Taxes

Taxes that are a fixed amount, not varying with the income or wealth of the taxpayer, and are paid at one time instead of in installments.

Budget Deficit

A situation where a government's expenditures exceed its revenues during a specified period of time, leading to borrowing or debt accumulation.

Discretionary Fiscal Policy

Government policy involving the use of government spending and taxation levels to influence the economy, based on current conditions.