Louis Katz,a Cost Accountant at Papalote Plastics,Inc

question 18

Multiple Choice

Louis Katz,a cost accountant at Papalote Plastics,Inc.(PPI) ,is analyzing the manufacturing costs of a moulded plastic telephone handset produced by PPI.Louis's independent variable is production lot size (in 1,000's of units) ,and his dependent variable is the total cost of the lot (in $100's) .Regression analysis of the data yielded the following tables: The correlation coefficient between Louis's variables is ___.

• A)-0.73
• B)0.73
• C)0.28
• D)-0.28
• E)0.00

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Definitions:

Critical Value

A point on the scale of the test statistic beyond which we reject the null hypothesis; it's determined by the significance level.

Null Hypothesis

A statement suggesting that there is no significant difference or relationship between specified populations, any observed difference being due to sampling or experimental error.

Null Hypothesis

A statement in statistical hypothesis testing that assumes no effect or no difference between phenomena or populations.

Level of Risk

The probability or chance of experiencing harm or loss.