TABLE 10-14
the Use of Preservatives by Food Processors Has $\bar{X}$

question 30

Multiple Choice

TABLE 10-14
The use of preservatives by food processors has become a controversial issue. Suppose two preservatives are extensively tested and determined safe for use in meats. A processor wants to compare the preservatives for their effects on retarding spoilage. Suppose 15 cuts of fresh meat are treated with preservative I and 15 are treated with preservative II, and the number of hours until spoilage begins is recorded for each of the 30 cuts of meat. The results are summarized in the table below.
Preservative I Preservative II
$\bar{X}$ I = 106.4 hours II = 96.54 hours
$\bar{X}$ SI = 10.3 hours SII = 13.4 hours
-Referring to Table 10-14, state the null and alternative hypotheses for testing if the population variances differ for preservatives I and II.

• A) \( H_{0}: \sigma_{I}^{2}-\sigma_{I I}^{2} \geq 0 \) versus \( H_{1}: \sigma_{I}^{2}-\sigma_{I I}^{2}<0 \)
• B) \( H_{0}: \sigma_{I}^{2}-\sigma_{I I}^{2} \leq 0 \) versus \( H_{1}: \sigma_{I}^{2}-\sigma_{I I}^{2}>0 \)
• C) \( H_{0}: \sigma_{I}^{2}-\sigma_{I I}^{2}=0 \) versus \( H_{1}: \sigma_{I}^{2}-\sigma_{I I}^{2} \neq 0 \)
• D) \( \sigma_{I}^{2}-\sigma_{I I}^{2} \neq 0 \) versus \( H_{1}: \sigma_{I}^{2}-\sigma_{I I}^{2}=0 \)

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A hobby involving the collection and study of postage stamps, often regarded as a form of historical and artistic interest.

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Considered to hold importance, worth, or usefulness in a particular context.

Discount Rate

The rate applied in discounted cash flow analysis for the assessment of the current value of future expected cash flows.