The Goal of an Experiment Is to Investigate the Factors

question 64

Multiple Choice

The goal of an experiment is to investigate the factors that affect visitor travel time in a complex, multilevel building on campus. Specifically, we want to determine whether the effect of directional
Aid (wall signs or map) on travel time depends on starting room location (interior or exterior) .
Three visitors were assigned to each of the combinations of directional aid and starting room
Location, and the travel times of each (in seconds) to reach the goal destination room were
Recorded. $\begin{array}{c|cc}\begin{array}{c}\text { DIRECTIONAL } \\\text { AID }\end{array} & \begin{array}{c}\text { STARTING } \\\text { Interior }\end{array} & \begin{array}{c}\text { ROOM } \\\text { Exterior }\end{array} \\\hline \text { Wall signs } & 149 & 222 \\& 125 & 335 \\& 211 & 139 \\\text { Map } & 153 & 226 \\& 130 & 329 \\& 223 & 141\end{array}$

Explain how to properly analyze these data.

• A) ANOVA F-test for a completely randomized design with four treatments
• B) ANOVA \(F\)-test for interaction in a \(2 \times 2\) factorial design with 3 replications
• C) Chi-square test for a \(2 \times 2\) factorial design
• D) ANOVA F-test for a randomized block design with two treatments

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Definitions:

Put Option

A financial contract giving the option buyer the right, but not the obligation, to sell a specified amount of an underlying asset at a set price within a specified time.

Intrinsic Value

The actual value of a company or an asset based on underlying perceptions of its true value including all aspects of the business.

Option Price

The cost associated with obtaining the right, but not the obligation, to purchase or sell an asset at a specified price within a certain time frame.

Black-Scholes Option Pricing Model

A mathematical model used for pricing European style options, taking into account the stock price, strike price, risk-free rate, and time to expiration.