SCENARIO 11-12 a Student Team in a Business Statistics Course Designed an Designed

question 23

True/False

SCENARIO 11-12
A student team in a business statistics course designed an experiment to investigate whether the brand
of bubblegum used affected the size of bubbles they could blow. To reduce the person-to-person
variability, the students decided to use a randomized block design using themselves as blocks.
Four brands of bubblegum were tested. A student chewed two pieces of a brand of gum and then blew
a bubble, attempting to make it as big as possible. Another student measured the diameter of the
bubble at its biggest point. The following table gives the diameters of the bubbles (in inches) for the
16 observations.
-Referring to Scenario 11-12, the null hypothesis for the randomized block F test
for the difference in the means should be rejected at a 0.05 level of significance.

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Definitions:

CCA Class

Refers to the classification system for capital cost allowance purposes in Canada, determining the rate at which assets can be depreciated for tax purposes.

Marginal Tax Bracket

The tax rate that applies to the final dollar of taxable income for a person or organization.

Erosion Cost

Costs that occur when a new project or investment negatively affects the revenues or profits of existing projects.

Expansion Project

Initiatives undertaken by a company to increase its existing operations' capacity or to venture into new markets or products.