The Manager of the Quality Department for a Tire Manufacturing

question 61

True/False

The manager of the quality department for a tire manufacturing company wants to know the average tensile strength of rubber used in making a certain brand of radial tire.The population is normally distributed,and the population standard deviation is known.She uses a z test to test the null hypothesis that the mean tensile strength is less than or equal to 800 pounds per square inch.The calculated z test statistic is a positive value that leads to a p-value of .067 for the test.If the significance level is .10,the null hypothesis would be rejected.

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Definitions:

Credit Sale

A transaction where the goods or services are provided to the customer with payment to be made at a later date.

Accounts Receivable

This refers to the amount of money customers are yet to pay a company for the products or services which have already been provided.

Sales Revenues

Revenue generated through the sales of goods or services throughout a certain period.

Credit Sales

Sales made by a business wherein the payment is postponed, leading to the creation of an account receivable.