At a Recent Meeting, the Manager of a National Call

question 66

Multiple Choice

At a recent meeting, the manager of a national call center for a major Internet bank made the statement that the average past-due amount for customers who have been called previously about their bills is now no larger than $20.00. Other bank managers at the meeting suggested that this statement may be in error and that it might be worthwhile to conduct a test to see if there is statistical support for the call center manager's statement. The file called Bank Call Center contains data for a random sample of 67 customers from the call center population. Assuming that the population standard deviation for past due amounts is known to be $60.00, what should be concluded based on the sample data? Test using α = 0.10.

• A) Because p-value = 0.4121 > alpha = 0.10, we do not reject the null hypothesis. The sample data do not provide sufficient evidence to reject the call center manager's statement that the
• Mean past due amount is $20.00 or less.
• B) Because p-value = 0.4121 > alpha = 0.10, we reject the null hypothesis. The sample data provide sufficient evidence to reject the call center manager's statement that the mean
• Past due amount is $20.00 or less.
• C) Because p-value = 0.2546 > alpha = 0.10, we do not reject the null hypothesis. The sample data do not provide sufficient evidence to reject the call center manager's statement that the
• Mean past due amount is $20.00 or less.
• D) Because p-value = 0.2546 > alpha = 0.10, we reject the null hypothesis. The sample data provide sufficient evidence to reject the call center manager's statement that the mean
• Past due amount is $20.00 or less.

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Definitions:

Overhead Cost

Expenses not directly tied to production activities, such as rent, utilities, and administrative costs.

Product Y7

A hypothetical or specific product, referred to by the identifier Y7, which may represent a model, version, or variant in a lineup.

Activity-Based Costing

A pricing approach that allocates overheads and indirect expenses to particular tasks, resulting in more precise cost estimation for products.

Activity Rate

A measure used in activity-based costing to allocate overhead costs to products or services.