THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION

question 147

Essay

THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
An airline is considering changing the color scheme of its planes' interiors.A focus group of 220 people was asked which color scheme they preferred.Of those who expressed a preference,87 preferred the new color scheme,while 121 preferred the old.
-Consider the following contingency table.Is there sufficient evidence to reject the null hypothesis of no association between the two variables?

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Definitions:

Interest On Debt

The cost incurred by an entity for borrowing funds, which is paid as a fee over time to the lender.

Liquidity

The ease with which assets can be converted into cash, indicating the financial health and operational efficiency of a business.

Receivables Ratio

A financial metric used to assess how efficiently a company uses its assets, particularly measuring how many times a company collects its average receivables within a certain period.

Vertical Analysis

An accounting method where each entry in a financial statement is listed as a percentage of another item, facilitating ratio analysis and comparisons.