A Landscaping Company Is Considering Renting a Backhoe (A Type

question 141

Multiple Choice

A landscaping company is considering renting a backhoe (a type of excavating equipment) at $12,000 for the season. The variable cost of completing a landscaping project with the use of the backhoe is $500. Alternatively, without the use of the backhoe, the company would incur a variable cost of $1,000 per landscaping project and no fixed costs. If the landscaping company plans to complete more than _____ projects, the total cost of landscaping projects will be lower _____.

• A) 24; with the backhoe
• B) 18; with the backhoe
• C) 44; without the backhoe
• D) 12; without the backhoe

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Definitions:

Statistical Significance

A measure of whether observed data can be considered as not being the result of chance, typically through the use of a p-value.

Dependent-Samples T-Test

A statistical procedure used to compare means from the same group at two different times or under two different conditions.

Regression

A statistical method that models the relationship between a dependent variable and one or more independent variables, predicting the former based on the latter.

Analysis of Variance

A statistical method used to test differences between two or more means by analyzing variance.