Suppose That You Used a 9-Point Rating Scale and That

question 37

Multiple Choice

Suppose that you used a 9-point rating scale and that you wanted to compare men who had an annual income over $50,000 (Group 1) with men who had an annual income less than or equal to $50,000 (Group 2) on their liking of a new product.If you studied 40 men in Group 1 and they have a mean of 7 and a standard deviation of 2.5,while the 35 men in Group 2 have a mean of 5 and a standard deviation of 1.4,what is the approximate value of t using the t-test?

• A)3.43
• B)4.19
• C)2.64
• D)not enough information to determine

Understand the impact of discount rates on the NPV and IRR of a project.

Learn to evaluate investment projects using profitability index.

Understand the implications of intangible benefits in investment decision making.

Calculate and interpret the simple rate of return on an investment.

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Definitions:

Consumption

The use of goods and services by households, which is a primary component of the economy and influences economic growth.

Induced Consumption

Refers to the portion of consumer spending that increases or decreases with disposable income.

Disposable Income

Net funds allocated to households for their spending and saving post the application of income taxes.

Consumption

Consumption is the act of using goods and services by households or individuals.