TABLE 12-1 A Corporation Randomly Selects 150 Salespeople and Finds That 66

question 148

Multiple Choice

TABLE 12-1
A corporation randomly selects 150 salespeople and finds that 66% who have never taken a self-improvement course would like such a course. The firm did a similar study 10 years ago in which 60% of a random sample of 160 salespeople wanted a self-improvement course. The groups are assumed to be independent random samples. Let π₁ and π₂ represent the true proportion of workers who would like to attend a self-improvement course in the recent study and the past study, respectively.
-Referring to Table 12-1, what is the value of the test statistic to use in evaluating the alternative hypothesis that there is a difference in the two population proportions using α = 0.10?

• A) 4.335
• B) 2.706
• C) 1.194
• D) 0.274

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Definitions:

Retirement Income

Income that a person receives after retiring from active employment, which can include pensions, Social Security benefits, and returns from investments.

Perpetual Scholarship

A scholarship grant maintained indefinitely, often funded by an endowment that generates interest to cover its cost.

Compounded Annually

An interest calculation method where the interest is added to the principal at the end of each year, with the total becoming the principal for the next year.

Compounded Annually

A method where interest is calculated once per year and added to the principal sum.