In a Local Community There Are Three Grocery Chain Stores

question 50

Multiple Choice

In a local community there are three grocery chain stores.The three have been carrying out a spirited advertising campaign in which each claims to have the lowest prices.A local news station recently sent a reporter to the three stores to check prices on several items.She found that for certain items each store had the lowest price.This survey didn't really answer the question for consumers.Thus,the station set up a test in which 20 shoppers were given different lists of grocery items and were sent to each of the three chain stores.The sales receipts from each of the three stores are recorded in the data file Groceries. Based on these sample data,can you conclude the three grocery stores have different sample means? Test using a significance level of 0.05.Use a p-value approach.

• A)Since the p-value of 2.68E - 10 < 0.05 reject H₀ and conclude that at least two means are different.
• B)Since the p-value of 2.68E-10 < 0.05 do not reject H₀ and conclude that means are all the same.
• C)Since the p-value of 0.027 < 0.05 reject H₀ and conclude that at least two means are different.
• D)Since the p-value of 0.027 < 0.05 do not reject H₀ and conclude that means are all the same.

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Definitions:

Monetary Policy

Monetary policy involves the management of a nation's money supply and interest rates by its central bank to control inflation, manage employment, and stabilize the currency.

Short Run

A period in economics where at least one input is fixed and cannot be changed, limiting adjustments in production.

Long Run

A period in which all inputs, including capital assets, can be adjusted by firms in response to market conditions.

Unit of Account

A standard monetary unit of measurement of the market value/cost of goods, services, or assets.