Cindy Ho, VP of Finance at Discrete Components, Inc $\alpha$ = 001, the Observed F Value Is ___

question 15

Multiple Choice

Cindy Ho, VP of Finance at Discrete Components, Inc. (DCI) , theorizes that the discount level offered to credit customers affects the average collection period on credit sales. Accordingly, she has designed an experiment to test her theory using four sales discount rates (0%, 2%, 4%, and 6%) by randomly assigning five customers to each sales discount rate. An analysis of Cindy's data produced the following ANOVA table: Using $\alpha$ = 0.01, the observed F value is ___.

• A) 6.2102
• B) 0.1610
• C) 0.1875
• D) 5.3333
• E) 4.9873

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Definitions:

Labor

The combined physical and mental exertion employed in creating goods and services.

Marginal Physical Product

The change in total physical output that results from a one-unit increase in the quantity of one input, holding other inputs constant.

Marginal Revenue Product

The extra income derived from the use of an additional unit of a resource or input in production.

Input

Resources such as labor, materials, and capital that are used in the production process to create goods and services.