A Company Believes That It Controls More Than 30% of the Total

question 76

Multiple Choice

A company believes that it controls more than 30% of the total market share for one of its products. To prove this belief, a random sample of 144 purchases of this product is contacted. It is found that 50 of the 144 purchased this company's brand of the product. If a researcher wants to conduct a statistical test for this problem, the test statistic would be ___.

• A) 0.05
• B) 0.103
• C) 0.35
• D) 1.24
• E) 1.67

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Definitions:

Net Worth

The total value of an individual’s or entity’s assets minus liabilities.

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Chebysheff's Theorem

A theorem that provides a minimum proportion of observations that lie within a specified number of standard deviations from the mean, applicable to all distributions.

Standard Deviations

A measure that indicates the amount of variation or dispersion from the average in a set of data.