Solved

The Billing Department of a National Cable Service Company Is

Question 103

Multiple Choice

The billing department of a national cable service company is conducting a study of how customers pay their monthly cable bills.The cable company accepts payment in one of four ways: in person at a local office,by mail,by credit card,or by electronic funds transfer from a bank account.The cable company randomly sampled 400 customers to determine if there is a relationship between the customer's age and the payment method used.The following sample results were obtained: The billing department of a national cable service company is conducting a study of how customers pay their monthly cable bills.The cable company accepts payment in one of four ways: in person at a local office,by mail,by credit card,or by electronic funds transfer from a bank account.The cable company randomly sampled 400 customers to determine if there is a relationship between the customer's age and the payment method used.The following sample results were obtained:   Based on the sample data,can the cable company conclude that there is a relationship between the age of the customer and the payment method used? Conduct the appropriate test at the alpha= 0.01 level of significance. A) Because x<sup>2</sup> = 42.2412 > 21.666,do not reject the null hypothesis.Based on the sample data conclude that age and type of payment are independent. B) Because x<sup>2</sup> = 42.2412 > 21.666,reject the null hypothesis.Based on the sample data conclude that age and type of payment are not independent C) Because x<sup>2</sup> = 50.3115 > 21.666,do not reject the null hypothesis.Based on the sample data conclude that age and type of payment are independent. D) Because x<sup>2</sup> = 50.3115 > 21.666,reject the null hypothesis.Based on the sample data conclude that age and type of payment are not independent. Based on the sample data,can the cable company conclude that there is a relationship between the age of the customer and the payment method used? Conduct the appropriate test at the alpha= 0.01 level of significance.


A) Because x2 = 42.2412 > 21.666,do not reject the null hypothesis.Based on the sample data conclude that age and type of payment are independent.
B) Because x2 = 42.2412 > 21.666,reject the null hypothesis.Based on the sample data conclude that age and type of payment are not independent
C) Because x2 = 50.3115 > 21.666,do not reject the null hypothesis.Based on the sample data conclude that age and type of payment are independent.
D) Because x2 = 50.3115 > 21.666,reject the null hypothesis.Based on the sample data conclude that age and type of payment are not independent.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents