The Next Questions Are Based on the Following Information

question 109

Multiple Choice

The Next Questions Are Based On The Following Information:
The manufacturer of a new chewing gum claims that at least 80% of dentists surveyed prefer their type of gum and recommend it for their patients who chew gum.An independent consumer research firm decides to test their claim.The findings in a sample of 200 dentists indicate that 74.1% of the respondents do actually prefer their gum.
-The value of the test statistic is:

• A)2.086
• B)1.444
• C)-2.086
• D)-1.444

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Definitions:

Market Price

The price at which a product or service is bought and sold in the competitive marketplace.

Upstream Monopolist

A firm that controls the supply of essential raw materials or components before they are processed or utilized in the production of finished goods.

Downstream Monopolist

A firm or entity that controls the market as the sole provider or purchaser of goods or services at a later stage in the production or supply chain.

Competitive Price

The market price at which goods are sold in a perfectly competitive market, where no single buyer or seller can influence the price.