CitySearch

question 33

Multiple Choice

CitySearch.com reports that 55% of its users are in the 18-to-30 age demographic, 35% are in the 31-to-45 demographic, and the remaining 10% are in the 46-and-older demographic.In a recent survey of 200 randomly selected CitySearch.com users, most users were in the 18-to-30 age demographic, some were in the 31-to-45 demographic, and the rest were in the 46-and-older demographic You conduct a chi-square test to determine whether this sample result is enough to reject a null hypothesis that the age group distribution of CitySearch.com users is as the website describes.The significance level is .05.If the p-value turns out to be .042, what should you conclude?

• A)Don't reject the website's claim.
• B)Reject the website's claim.
• C)The sample provides strong evidence that the website's claim is true.
• D)Given the sample result, the website's claim can't be true.

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Definitions:

Market Price

The present rate at which a product or service can be purchased or sold.

Equity Method

An accounting technique used to record investments in other companies, where the investment is initially recorded at cost and adjusted thereafter for the investor's share of the investee's net income or loss.

Investee Earnings

The portion of income attributable to an investor from its investment in an associated company.