snack food company trying decide whether manufacture new flavour tortilla chips


A snack food company is trying to decide whether to manufacture a new flavour of tortilla chips. The market research group conducted a telephone survey of 5,000 households and found that 540 respondents indicated that they would purchase this new flavour of tortilla chips. A similar study conducted a year earlier showed that the level of interest was 10%. Which of the following statements is true?
Answer:
a. At a 1% level of significance, the manufacturer should conclude that there has been an increase in the level of interest in this new flavour.
b. At a 5% level of significance, the manufacturer should conclude that there has been an increase in the level of interest in this new flavour.
c. At a 5% level of significance, the manufacturer should conclude that there has been no increase in the level of interest in this new flavour.
d. This is a one-sided test, with the rejection region in the left tail under the curve.

 

[Button id=”1″]

Thanks for installing the Bottom of every post plugin by Corey Salzano. Contact me if you need custom WordPress plugins or website design.

Looking for a Similar Assignment? Our ENL Writers can help. Get your first order at 15% off!

Order

Hi there! Click one of our representatives below and we will get back to you as soon as possible.

Chat with us on WhatsApp