Instruction 15-5
a Computer Used by a 24-Hour Banking Service

question 98

Multiple Choice

Instruction 15-5
A computer used by a 24-hour banking service is supposed to randomly assign each transaction to one of five memory locations. A check at the end of a day's transactions gave the counts shown in the table to each of the five memory locations, along with the number of reported errors.
$$\begin{array} { | l | l | l | l | l | l | } \hline \text { Memory Location } & 1 & 2 & 3 & 4 & 5 \\\hline \text { Number of Transactions } & 82 & 100 & 74 & 92 & 102 \\\hline \text { Number of Reported Errors } & 11 & 12 & 6 & 9 & 10 \\\hline\end{array}$$ The bank manager wanted to test whether the proportion of errors in transactions assigned to each of the five memory locations differ.
-Referring to Instruction 15-5,at 1% level of significance

• A) there is sufficient evidence to conclude that the proportions of errors in transactions assigned to each of the five memory locations are all different.
• B) there is insufficient evidence to conclude that the proportion of errors in transactions assigned to each of the five memory locations are not all the same.
• C) there is insufficient evidence to conclude that the proportions of errors in transactions assigned to each of the five memory locations are all different.
• D) there is sufficient evidence to conclude that the proportion of errors in transactions assigned to each of the five memory locations are not all the same.

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Definitions:

Development Phase

A stage in the business cycle or project where new products, ideas, or projects are being developed, prior to commercial production or sale.

Exploration and Evaluation

Activities related to the search for mineral resources, including minerals, oil, natural gas, and similar non-regenerative resources after the entity has obtained rights to explore in a specific area.

Extraction

The process of removing natural resources from the earth, such as mining for minerals or drilling for oil, which can have significant accounting and environmental implications.

Impairment Write-downs

Accounting adjustments made to write off the portion of an asset's carrying amount that exceeds its recoverable amount.