Instruction 10-8
the Following Micosoft Excel Output Contains the Results

question 129

Multiple Choice

Instruction 10-8
The following Micosoft Excel output contains the results of a test to determine if the proportions of satisfied guests at two resorts are the same or different.
$$\begin{array}{l}\begin{array} {| l | l |} \hline \text {Hypothesised Difference }&0\\\hline \text {Level of Significance }&0.05\\\hline \text {Group 1 }&\\\hline \text {Number of Successes }&160\\\hline \text { Sample size}&200\\\hline \text {Group 2 }&\\\hline \text {Number of Successes }&172\\\hline \text {Sample Size }&250\\\hline \text {Intermediate Calculations }&\\\hline \text {Group 1 Proportion }&0.8\\\hline \text {Group 2 Proportion }&0.688\\\hline \text { Difference in Two Proportions}&0.112\\\hline \text {Average Proportion }&0.737777778 \\\hline \text { Test Statistic}&2.684103363 \\\hline \text {Two-Tailed Test }&\\\hline \text { Lower Critical Value}&-1.95996398 \\\hline \text {Upper Critical Valuse }&1.959963985 \\\hline \text {p-Value }&0.007272462\\\hline \end{array}\end{array}$$
-Referring to Instruction 10-8,allowing for 1% probability of committing a Type I error,what are the decision and conclusion on testing whether there is any difference in the proportions of satisfied guests in the two resorts?

• A)Reject the null hypothesis;there is enough evidence to conclude that there is significant difference in the proportions of satisfied guests at the two resorts.
• B)Do not reject the null hypothesis;there is enough evidence to conclude that there is significant difference in the proportions of satisfied guests at the two resorts.
• C)Do not reject the null hypothesis;there is not enough evidence to conclude that there is significant difference in the proportions of satisfied guests at the two resorts.
• D)Reject the null hypothesis;there is not enough evidence to conclude that there is significant difference in the proportions of satisfied guests at the two resorts.

---

Definitions:

Price

The amount of money required to purchase a good or service, set by the interplay of supply and demand forces in the market.

Total Cost

The full expense incurred in the production or acquisition of goods or services, including both fixed and variable costs.

Marginal Cost

The supplementary charge triggered by the manufacture of one extra unit of a product or service.

Average Variable Cost

The total variable cost divided by the quantity of output produced; it represents the variable cost per unit of output.