A Professional Organization Is Attempting to Determine Whether Salaries of Hospital

question 26

Multiple Choice

A professional organization is attempting to determine whether salaries of hospital CFOs differ by geographical region.Five hospital CFOs were randomly selected from each of the following four regions of the United States: East,Midwest,South,and West.Each CFO was then asked his or her annual salary.The salary distributions were highly skewed.The table below summarizes the results of the Kruskal-Wallis test obtained from MegaStat/Excel. At a significance level of .05,which one of the following statements is correct regarding the following null hypothesis? H₀: The four populations under consideration have identical salaries.

• A) We reject H₀ and conclude that there is very strong evidence that the median hospital CFO salaries differ among all four regions in the United States.
• B) We failed to reject H₀ and conclude that there is not sufficient evidence that the median hospital CFO salaries differ among any of the four regions of the United States.
• C) We do not reject H₀ and conclude that there is only adequate evidence that the median hospital CFO salaries differ between at least two of the four regions in the United States.
• D) We reject H₀ and conclude that there is strong evidence that the median hospital CFO salaries differ between at least two of the four regions in the United States.
• E) We do not reject H₀ and conclude that all 4 populations under consideration are identical in their locations.

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Definitions:

Write-off

The accounting action of recording an asset as having little or no future service potential, resulting in it being deducted from one's financial statements.

Expected Count

The anticipated frequency or number of occurrences of an event in statistical hypothesis testing.

Economic Concerns

Issues related to the financial health and stability of an economy, including inflation, unemployment, and GDP growth.

Housing

The provision of shelter or accommodation, including the structures and related policies that determine how residential spaces are built, allocated, and governed.