TABLE 11-3 As Part of an Evaluation Program, a Sporting Goods Retailer

question 186

Multiple Choice

TABLE 11-3
As part of an evaluation program, a sporting goods retailer wanted to compare the downhill coasting speeds of 4 brands of bicycles. She took 3 of each brand and determined their maximum downhill speeds. The results are presented in miles per hour in the table below.
Trial Barth Tornado Reiser Shaw
1 43 37 41 43
2 46 38 45 45
3 43 39 42 46
-Referring to Table 11-3, what should be the decision for the Levene's test for homogeneity of variances at a 5% level of significance?

• A) Reject the null hypothesis because the p-value is smaller than the level of significance.
• B) Reject the null hypothesis because the p-value is larger than the level of significance.
• C) Do not reject the null hypothesis because the p-value is smaller than the level of significance.
• D) Do not reject the null hypothesis because the p-value is larger than the level of significance.

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Definitions:

In-Plant Inventory

Refers to the stock of raw materials, work-in-progress, and finished goods that are kept within a manufacturing plant or facility.

Just-In-Time Partnerships

Collaborations between companies that focus on producing or delivering goods only as they are needed, to reduce inventory costs and increase efficiency.

Large Lot Sizes

Refers to the practice of producing or purchasing goods in large quantities, typically to achieve economies of scale but potentially leading to increased inventory costs.