A Large Software Development Firm Recently Relocated Its Facilities $16.6$ Hours and a Standard Deviation Of

question 8

Multiple Choice

A large software development firm recently relocated its facilities. Top management is interested in fostering good relations with their new local community and has encouraged their professional employees to engage in local service activities. They believe that the firm's professionals volunteer an average of more than 15 hours per month. If this is not the case, they will institute an incentive program to increase community involvement. A random sample of 24 professionals yields a mean of $16.6$ hours and a standard deviation of $2.22$ hours. The $P$ -value associated with the resulting test statistic is $0.0009$ . At $\alpha = 0.05$ , which of the following is the correct conclusion?
I. We reject the null hypothesis.
II. We fail to reject the null hypothesis.
III. The firm shouldn't need to institute an incentive program because the evidence indicates that professional employees volunteer an average of more than 15 hours per month in their local community.

• A) I only
• B) Both II and III
• C) Both I and III
• D) III only
• E) II only

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Definitions:

Classified Balance Sheet

A balance sheet that organizes assets and liabilities into categories such as current, fixed, and intangible assets, and current and long-term liabilities.

Current Liabilities

Short-term financial obligations that are due within one year or within the normal operating cycle, such as accounts payable and short-term loans.

Long-term Liabilities

Debts or obligations that are due to be paid or settled beyond one year or the normal operating cycle of a business.

Current Ratio

A financial metric used to evaluate a company's ability to pay short-term obligations with its short-term assets.