Consider the Following to Answer the Question(s) Below

question 21

Multiple Choice

Consider the following to answer the question(s) below:
The option to buy extended warranties is commonplace with most electronics purchases. Does the type of purchase affect a consumer's willingness to pay extra for an extended warranty? Data for 420 consumers who purchased digital cameras and laptop computers from a leading electronics retailer are summarized in the table.
-Of those who made a purchase, the percentage of those who chose the warranty is

• A) 41.67% (175/420).
• B) 7.14% (30/420).
• C) 17.14% (30/175).
• D) 82.86% (145/175).
• E) 71.43% (175/245).

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Definitions:

Samples

Individual observations or subsets of data collected from a larger population for the purpose of statistical analysis.

Balanced Experiment

An experimental design where all groups or treatments have an equal number of subjects, minimizing bias and variability.

Factorial Experiment

An experimental setup that studies the effects of two or more factors across multiple levels for each factor.

College Graduates

Individuals who have completed a degree program at a college or university.