A Pizza Chain Is Considering Opening a New Store in an Area

question 179

Multiple Choice

A pizza chain is considering opening a new store in an area that currently does not have any such stores.The chain will open if there is evidence that more than 5,000 of the 20,000 households in the area have a favorable view of its brand.It conducts a telephone poll of 300 randomly selected households in the area and finds that 96 have a favorable view.The value of the test statistic in this problem is approximately equal to:

• A)2.80
• B)2.60
• C)1.94
• D)1.30

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Definitions:

Null Hypothesis

The premise in statistical testing that proposes there is no effect or no difference, serving as the basis for assessing observational data.

Heavy Pollution

Refers to a high level of contamination in the environment, often caused by industrial, agricultural, or urban activities, that can harm human health and ecosystems.

Wilcoxon Signed Rank Test

A non-parametric statistical test used to compare two related samples, matching pairs, or repeated measurements on a single sample to assess whether the population mean ranks differ.

Null Hypothesis

A default hypothesis that there is no effect or no difference, and it's the assumption to be tested in statistical analysis.