Refer to Scenario 19

question 3

Multiple Choice

Refer to Scenario 19.2 below to answer the questions that follow.
SCENARIO 19.2: The current lowest cost method of producing brown paper bags is $5.00 per 100 bags. The government imposes a $0.50 tax per unit of labor. After the tax is imposed, paper bag producers will use two units of labor to produce 100 paper bags. This increases the cost of paper-bag production to $6.50 per 100 bags.
-Refer to Scenario 19.2. If 1,000 paper bags are sold, the total burden of the tax is

• A) $1.50.
• B) $10.00.
• C) $15.00.
• D) $65.00

---

Definitions:

Confidence Interval

Various values, obtained from sample measures, that are likely to contain the essence of an unknown population parameter.

Confidence Interval

A selection of values, taken from data sampling, that is presumed to hold the value of a hidden population attribute.

Sample Size

The number of observations or data points collected or selected from a population for the purpose of statistical analysis.

Degrees of Freedom

The number of independent pieces of information in a dataset that are available for estimating another piece of information or parameter.