CitySearch

question 56

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 will conduct a proper 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 chi-square statistic for the sample result turns out to be 6.434, what should you conclude?

• A)Don't reject the website's claim.
• B)Reject the website's claim.
• C)The website's claim is true.
• D)The website's claim can't be true.

---

Definitions:

Abusive Means

Practices or methods that are harmful, manipulative, or intended to exploit or oppress individuals or groups.

Herfindahl Index

A measure of market concentration that calculates the sum of the squares of the market shares of the firms within an industry, used to assess the competition level.

Market Shares

The percentage of an industry's sales that a particular company controls.

Conglomerate Merger

A type of merger where two or more companies in unrelated business areas combine operations.