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THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
A study was conducted to determine whether the use of seat belts in vehicles depends on ethnic status in Detroit.A sample of 1,000 people treated for injuries sustained from vehicle accidents was obtained,and each person was classified according to (1)ethnic status (African American or non-African American)and (2)set belt usage (worn or not worn)during the accident.The data are shown in the table below.
Ethnic Status
-Which test would be used to properly analyze the data in this experiment?
Materials Quantity Variance
The difference between the actual quantity of materials used in production and the expected quantity, valued at standard cost.
Favorable
A term used in variance analysis indicating that actual costs were lower than budgeted or standard costs, leading to higher profits.
Unfavorable
A term used in variance analysis to describe a situation where actual results are worse than expected results, often leading to a negative impact on financial performance.
Raw Materials Price Variance
This variance highlights the difference between the actual cost of raw materials used in production and the standard or expected cost.
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