A Coffee-Dispensing Machine Is Supposed to Deliver 8 Ounces of Liquid

question 89

Multiple Choice

A coffee-dispensing machine is supposed to deliver 8 ounces of liquid into each paper cup,but a consumer believes that the actual mean amount is less.The consumer obtained a sample of 49 cups of the dispensed liquid with average of 7.75 ounces.If the sample variance of the dispensed liquid delivered per cup is 0.81 ounces,and α = 0.05,the appropriate decision is ________.

• A) increase the sample size
• B) reduce the sample size
• C) fail to reject the 8-ounces claim
• D) maintain status quo
• E) reject the 8-ounces claim

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Definitions:

Taxable Income

The portion of income that is subject to tax, after accounting for deductions and exemptions.

Taxpayer

An individual or entity that is required by law to pay taxes to a federal, state, or local government.

State Tax

A tax imposed by a state on earned income, business profits, property, sales, etc., that varies from state to state.

Itemized Deduction

Expenses listed separately that can be deducted from adjusted gross income to reduce taxable income, including medical expenses, taxes paid, interest, charitable contributions, and certain job-related expenses.