A Chewing Gum Manufacturer Wishes to Determine If His Customers

question 25

Multiple Choice

A chewing gum manufacturer wishes to determine if his customers prefer one flavor gum other flavor. He selects a random sample of customers and records the flavor of gum that purchased. Compute the test value for the data given.
$\begin{array} { l c } \text { Type } & \text { Number Sold } \\ \text { Spearmint } & 25 \\ \text { Wintergreen } & 32 \\ \text { Cherry } & 18 \\ \text { Cinnamon } & 43 \end{array}$

• A) 29.5
• B) 11.56
• C) 18.0
• D) 6.18

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Definitions:

Capital Structure

The mixture of debt and equity that a company uses to finance its operations and growth.

ROE

Return on Equity; a financial ratio that measures the profitability of a firm by dividing net income by shareholder's equity.

Days Sales Outstanding

A measure that calculates the average time it takes for a company to collect payments after a sale has been made.

Accounts Receivable

Funds that customers owe to a business for products or services rendered but for which payment has not yet been received.