Solve the Problem The Accountant Then Fit Both a Linear Graph and an Four

question 9

Multiple Choice

Solve the problem.
-An accountant tabulated a firm's profits for four recent years in the following table:
$\begin{array} { l | l } \text { Year } & \text { Profits } \\\hline 1996 & \$ 250,000 \\1997 & \$ 300,000 \\1998 & \$ 400,000 \\1999 & \$ 600,000\end{array}$

The accountant then fit both a linear graph and an exponential curve (seen below) to the data, in order to estimat profits. Use the exponential graph to estimate the profits in the year $2002 .$

• A) About \(\$ 1,000,000\)
• B) About \(\$ 1,700,000\)
• C) About \(\$ 1,300,000\)
• D) About \(\$ 750,000\)

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Definitions:

α

Represents the level of significance in hypothesis testing, indicating the probability of rejecting a true null hypothesis.

Degrees of Freedom

Degrees of freedom refer to the number of independent values or quantities that can be assigned to a statistical distribution while still satisfying a given number of constraints.

T-test for Dependent Means

A statistical method used to compare the means of two related groups.

α

In statistics, α (alpha) typically represents the level of significance, the probability of rejecting the null hypothesis when it is actually true.