SCENARIO 12-20 A Filling Machine at a Local Soft Drinks Company Is

question 44

True/False

SCENARIO 12-20
A filling machine at a local soft drinks company is calibrated to fill the cans at a mean amount of 12 fluid ounces and a standard deviation of 0.5 ounces.The company wants to test whether the standard deviation of the amount filled by the machine is 0.5 ounces.A random sample of 15 cans filled by the machine reveals a standard deviation of 0.67 ounces.
-Referring to Scenario 12-20,in order to perform the test,you need to assume that the amount filled by the machine follows a normal distribution.

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Definitions:

Sales

The transactions of selling goods or services within a specific period.

Total Asset Turnover

A financial ratio that measures the efficiency of a company's use of its assets in generating sales revenue.

Income Statement

A financial statement that shows a company's revenue and expenses over a specific period, displaying net profit or loss.

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time.