Instruction 15-14
Data on the Percentage of 200 Hotels in Each

question 57

Multiple Choice

Instruction 15-14
Data on the percentage of 200 hotels in each of the three large cities across the world on whether minibar charges are correctly posted at checkout are given below.
$$\begin{array} { | c | c | c | c | } \hline & \text { Hong Kong } & \text { New York } & \text { Paris } \\\hline \text { Yes } & 86 \% & 65 \% & 78 \% \\\text { No } & 14 \% & 24 \% & 22 \% \\\hline\end{array}$$ At the 0.05 level of significance,you want to know if there is evidence of a difference in the proportion of hotels that correctly post minibar charges among the three cities.
-When testing for independence in a contingency table with 3 rows and 4 columns,there are ________ degrees of freedom.

• A)6
• B)5
• C)7
• D)12

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Definitions:

LRAC Curve

Long-Run Average Cost Curve, a graphical representation showing the minimum cost at which any output level can be produced in the long run.

Exiting Firms

Businesses that are leaving a particular market due to various reasons such as unprofitability, strategic realignment, or market saturation.

Increasing-Cost Industry

An industry in which production costs increase as the industry's output expands.

Constant-Cost Industry

An industry where the cost of production does not change as the industry's output changes.