The Table Below Summarizes Results from an Experiment in Which

question 47

Multiple Choice

The table below summarizes results from an experiment in which subjects were classified as asthmatic or nonasthmatic and then given a treatment. After the treatment, they were again classified as asthmatic or nonasthmatic. Using the
Values of the test statistic and critical value for a 0.05 significance level, what do you conclude?

• A) Fail to reject the null hypothesis that the following proportions are equal: (1) The proportion of asthmatics who were nonasthmatic after the treatment; 1) the proportion of nonasthmatics who were asthmatic after The treatment. The treatment does not appear to be effective.
• B) Reject the null hypothesis that the following proportions are unequal: (1) The proportion of asthmatics who were nonasthmatic after the treatment; 1) the proportion of nonasthmatics who were asthmatic after The treatment. The treatment appears to be effective.
• C) Fail to reject the null hypothesis that the following proportions are unequal: (1) The proportion of asthmatics who were nonasthmatic after the treatment; 1) the proportion of nonasthmatics who were Asthmatic after the treatment. The treatment does not appear to be effective.
• D) Reject the null hypothesis that the following proportions are equal: (1) The proportion of asthmatics who were nonasthmatic after the treatment; 1) the proportion of nonasthmatics who were asthmatic after the Treatment. The treatment appears to be effective.

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Definitions:

Expected Value

The weighted average of all possible values of a random variable, with each value weighted according to its probability of occurrence.

Perfect Information

A situation in which all participants have full and equal knowledge of all relevant factors affecting decisions.

EMV

Expected Monetary Value, a decision-making tool used in risk management to calculate the average outcome when the future includes scenarios that may or may not happen.

Medium Potential

A term indicating a moderate level of capacity or ability to achieve or develop something in the future.