A Manufacturer of Stereo Equipment Introduces New Models in the Fall

question 4

Multiple Choice

A manufacturer of stereo equipment introduces new models in the fall. Retail dealers are surveyed immediately after the Christmas selling season regarding their stock on hand of each piece of equipment. It has been discovered that unless 40% of the new equipment ordered by the retailers in the fall had been sold by Christmas, immediate production cutbacks are needed. The manufacturer has found that contacting all of the dealers after Christmas by mail is frustrating as many of them never respond. This year 80 dealers were selected at random and telephoned regarding a new receiver. It was discovered that 38% of those receivers had been sold. Since 38% is less than 40%, does this mean that immediate production cutbacks are needed or can this difference of 2 percentage points be attributed to sampling? Test at the 0.05 level. Computed z = -0.37.

• A) Cut back production
• B) Do not cut back production
• C) Cannot determine based on information given

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Definitions:

Gender Identity

A person's internal perception and experience of their own gender, which may or may not correspond to their biological sex.

Appearance

The way in which individuals present themselves or are perceived by others, including physical looks, clothing, and grooming.

Genetic Composition

The total makeup of genes in an individual or organism, determining inherited characteristics.

Violence

The use of physical force or power to inflict harm, damage, or violate others, can occur at various levels including personal, community, and institutional.