Scott Is a Manager at a Pool Cleaning Business

question 81

Essay

Scott is a manager at a pool cleaning business.He has hired 10 workers to clean pools for him and is considering what type of payment scheme he should set up for his workers.He can pay each of his workers $10 per hour to clean pools, or he can pay his workers $20 for each pool a worker cleans.(It takes 2 hours, on average, for an employee to clean a pool thoroughly.)If Scott wants to maximize the number of pools his workers clean in one day, which payment scheme should he use? Explain.

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Definitions:

Degrees of Freedom

The number of independent values or quantities that can vary in the calculation without violating any constraint.

Contingency Table

A tabular method used to summarize the relationship between several categorical variables, showing distribution of frequencies.

Qualitative Variables

Variables that describe or categorize attributes or properties of a subject without using numerical values.

Chi-Square Test

A statistical test used to determine if there is a significant difference between observed frequencies and expected frequencies in one or more categories.