Amie Jackson,a Manager at Sigma Travel Services,makes Every Effort to Ensure

question 52

Multiple Choice

Amie Jackson,a manager at Sigma travel services,makes every effort to ensure that customers attempting to make online reservations do not have to wait too long to complete the reservation process.The travel website is open for reservations 24 hours a day,and Amie regularly checks the website for the waiting time to maintain consistency in service.She uses the following independently drawn samples of wait time during two peak hours,morning 8a.m.to 10 a.m.and evening 7p.m.to 9p.m. ,for the analysis.Assume that wait times are normally distributed. Construct a 90% confidence interval and test if the ratio of the population variances differs from one at the 10% significance level.Which of the following outcomes supports the test?

• A) [1.47,5.99].The ratio of the population variances differs from one at the 10% significance level.
• B) [1.19,7.35].The ratio of the population variances differs from one at the 10% significance level.
• C) [1.47,5.99].The ratio of the population variances does not differ from one at the 10% significance level.
• D) [1.19,7.35].The ratio of the population variances does not differ from one at the 10% significance level.

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Definitions:

High-Low Method

An accounting technique used to estimate the fixed and variable components of a cost based on the highest and lowest activity levels.

Least-Squares Regression

A statistical method used to determine the line of best fit by minimizing the sum of the squares of the vertical distances of the points from the line.

Least-Squares Regression

A statistical method used to determine the best-fitting line through a set of points, minimizing the sum of the squares of the distances of the points from the line.

Statistical Evidence

Data collected and analyzed for the purpose of supporting a conclusion or hypothesis.