SCENARIO 10-13
the Amount of Time Required to Reach a Customer

question 240

Multiple Choice

SCENARIO 10-13
The amount of time required to reach a customer service representative has a huge impact on
customer satisfaction. Below is the Excel output from a study to see whether there is evidence of a
difference in the mean amounts of time required to reach a customer service representative between
two hotels. Assume that the population variances in the amount of time for the two hotels are not
equal. $$\begin{array}{l}\text { t-Test: Two-Sample Assuming Unequal Variances }\\\begin{array} { l r r } \hline & { \text { Hotel 1 } } & { \text { Hotel 2 } } \\\hline \text { Mean } & 2.214 & 2.0115 \\\text { Variance } & 2.951657 & 3.57855 \\\text { Observations } & 20 & 20 \\\text { Hypothesized Mean Difference } & 0 & \\\text { df } & 38 & \\\text { t Stat } & 0.354386 & \\\text { P(T<=t) one-tail } & 0.362504 & \\\mathrm { t } \text { Critical one-tail } & 1.685953 & \\\mathrm { P } ( \mathrm { T } < = \mathrm { t } ) \text { two-tail } & 0.725009 & \\\mathrm { t } \text { Critical two-tail } & 2.024394 & \\\hline\end{array}\end{array}$$
-Referring to Scenario 10-13, suppose ? = 0.10. Which of the following represents the result of the relevant hypothesis test?

• A) The alternative hypothesis is rejected.
• B) The null hypothesis is rejected.
• C) The null hypothesis is not rejected.
• D) Insufficient information exists on which to make a decision.

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Definitions:

Variable Costs

Costs that vary directly with the level of production or sales volume, such as raw materials or commission on sales.

Fixed Expenses

Costs that do not change with the level of production or business activity.

Unit Contribution Margin

The amount by which the selling price of a unit exceeds its variable costs, indicating how much it contributes to covering fixed costs and generating profit.

Fixed Expenses

Expenses that remain constant regardless of production or sales volume, including rent, salaries, and insurance.