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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
I = 106.4 hours
II = 96.54 hours
SI = 10.3 hours SII = 13.4 hours
-Referring to Table 10-14, what assumptions are necessary for testing if the population variances differ for preservatives I and II?
Wage Disparity
The difference in wages between groups of workers, often based on gender, age, or race.
Wage Differentials
The differences in wage rates due to the variations in the skill level, occupation, region, and other factors affecting compensation.
Diminishing Returns
The principle stating that as one factor of production is increased while others are held constant, a point will eventually be reached where additions of the factor yield progressively smaller increases in output.
Value Added
The increase in worth of a product or service as a result of a particular stage of production or as it moves through the supply chain.
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