A PC Company Uses Two Suppliers for Rechargeable Batteries for Its

question 28

Essay

A PC company uses two suppliers for rechargeable batteries for its notebook computers. Two factors are important quality features of the batteries: mean use time and variation. It is desirable that the mean use time be high and the variability be low. Recently, the PC maker conducted a test on batteries from the two suppliers. In the test, 9 randomly selected batteries from Supplier 1 were tested and 12 randomly selected batteries from Supplier 2 were tested. The following results were observed: Based on these sample results, can the PC maker conclude that a difference exists between the two batteries with respect to the population mean use time? Test using a 0.10 level of significance.

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Definitions:

Price Discrimination

A strategy in pricing where the same provider sells identical or almost identical products or services for different prices across various markets or segments.

Same Good

A same good refers to an identical product or item that is available across different sellers or markets, maintaining the same characteristics and quality.

Airlines

Firms that facilitate the air conveyance of people and goods.

Monopolistic Competitor

A firm in a market structure where many companies sell products that are similar but not identical, allowing for competition on factors other than price.