Find the Test Statistic F to Test the Claim That

question 68

Multiple Choice

Find the test statistic F to test the claim that the populations have the same mean. $$\begin{array} { l c c } \hline \text { Brand 1 } & \text { Brand 2 } & \text { Brand 3 } \\\hline \mathrm { n } = 8 & \mathrm { n } = 8 & \mathrm { n } = 8 \\\overline { \mathrm { x } } = 3.0 & \overline { \mathrm { x } } = 2.6 & \overline { \mathrm { x } } = 2.6 \\\mathrm {~s} = 0.50 & \mathrm {~s} = 0.60 & \mathrm {~s} = 0.55 \\\hline\end{array}$$

• A)1.403
• B)1.021
• C)1.182
• D)0.832

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Definitions:

Miller-Orr Model

A model used in financial management to determine the optimal level for cash balances under uncertainty.

Uncertainty

The lack of predictability or certainty about outcomes, often considered in the context of investment or economic forecasts.

Cash Flows

Incoming and outgoing cash movements in a business or project, crucial for understanding its liquidity and operational efficiency.

Target Cash Balance

The optimal amount of cash that a company aims to hold at any given time to fulfill operational and transactional requirements.