Automotive Parts
a Regional Automotive Parts Chain Store Firm Wants

question 26

Short Answer

Automotive parts
A regional automotive parts chain store firm wants to improve the sales of tune-up supplies.It believes that a TV ad with a popular local,but offbeat,know-it-all actor might be able to affect their sales.Before the ads are run on TV,the company randomly samples eight of its weekly sales from past years.Following the ad campaign,eight weeks of sales were sampled.Weekly sales are approximately normally distributed and the population standard deviations are equal.Their hypothesis test is: Did the TV ad campaign help or hurt sales? To answer this question,the company plans to use a 0.05 significance level.The results of the two samples are: $$\begin{array} { | c | c | } \hline \text { Before Ad Campaign } & \text { After Ad Campaign } \\\hline n _ { 1 } = 8 & n _ { 2 } = 8 \\\bar { x } _ { 1 } = 184 & \bar { x } _ { 2 } = 189 \\s _ { 1 } ^ { 2 } = 548 & s _ { 2 } ^ { 2 } = 456 \\\hline\end{array}$$
-State null and alternative hypotheses.
H₀: ____________________
H₁: ____________________

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Definitions:

Materials

Raw substances or components that are used in the manufacturing process to produce goods.

Processing Cost

This is the expense incurred during the operation of converting raw materials into finished products, including labor and overhead costs.

Work in Process

Inventory that includes the materials, labor, and overhead costs for products that are in the production process but not yet complete.

Equivalent Units

A measure used in cost accounting to express the amount of work done on incomplete units in terms of complete units.