Question

A study was conducted to determine if consumers are more likely to choose a vice product...

A study was conducted to determine if consumers are more likely to choose a vice product (e.g., a candy bar) when their arm is flexed (as when carrying a shopping basket than when their arm is extended (as when pushing a shopping cart). The study measured choice scores (on a scale of 0 to 100, where higher scores indicate a greater preference for vice options) for consumer shopping under each of the two conditions. The average choice score for consumers with a flexed arm was 59, while the average for consumers with an extended arm was 45. For both conditions, assume that the standard deviation of the choice scores is 6. Also assume that both distributions are approximately normally distributed. Complete parts (a) and (b).

(a) In the flexed arm condition, what is the probability that a consumer has a choice score of 57 or greater?

(b) In the extended arm condition, what is the probability that a consumer has a choice score of 57 or greater?

0 0
Add a comment Improve this question Transcribed image text
Answer #1

X: choice score for consumers with a flexed arm condition

X follows normal distribution with mean 59 and standard deviation 6

(a)In the flexed arm condition, probability that a consumer has a choice score of 57 or greater = P(X57)

P(X57) = 1 - P(X<57)

Z-score for 57 = (57-59)/ 6 = -2/6 = -0.33

From standrd nomal tables, P(Z<-0.33) = 0.3707

P(X<57) = 0.3707

P(X57) = 1 - P(X<57)=1-0.3707=0.6293

(a)In the flexed arm condition, probability that a consumer has a choice score of 57 or greater = 0.6293

-----

Y: choice score for consumers with a extended arm condition

Y follows normal distribution with mean 45 and standard deviation 6

(b)In the extended arm condition, probability that a consumer has a choice score of 57 or greater = P(Y57)

P(Y57) = 1 - P(X<57)

Z-score for 57 = (57-45)/ 6 = 12/6 = 2

From standrd nomal tables, P(Z<2) = 0.9772

P(Y<57) = 0.9772

P(Y57) = 1 - P(Y<57)=1-0.9772=0.0228

In the extended arm condition, probability that a consumer has a choice score of 57 or greater = 0.0228

(a)In the flexed arm condition, probability that a consumer has a choice score of 57 or greater = 0.6293

(b)In the extended arm condition, probability that a consumer has a choice score of 57 or greater = 0.0228

Add a comment
Know the answer?
Add Answer to:
A study was conducted to determine if consumers are more likely to choose a vice product...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • 2. Hypothesis tests about a population mean, population standard deviation known Aa Aa Lenders tighten or...

    2. Hypothesis tests about a population mean, population standard deviation known Aa Aa Lenders tighten or loosen their standards for issuing credit as economic conditions change. One of the criteria lenders use to evaluate the creditworthiness of a potential borrower is her credit risk score, usually a FICO score. FICO scores range from 300 to 850. A consumer with a high FICO score is perceived to be a low credit risk to the lender and is more likely to be...

  • 2. Hypothesis tests about a population mean, population standard deviation known Aa Aa Lenders tighten or...

    2. Hypothesis tests about a population mean, population standard deviation known Aa Aa Lenders tighten or loosen their standards for issuing credit as economic conditions change. One of the criteria lenders use to evaluate the creditworthiness of a potential borrower is her credit risk score, usually a FICO score. FICO scores range from 300 to 850. A consumer with a high FICO score is perceived to be a low credit risk to the lender and is more likely to be...

  • 3. Hypothesis tests about a population mean, population standard deviation known Aa Aa Lenders tighten or...

    3. Hypothesis tests about a population mean, population standard deviation known Aa Aa Lenders tighten or loosen their standards for issuing credit as economic conditions change. One of the criteria lenders use to evaluate the creditworthiness of a potential borrower is his credit risk score, usually a FICO score. FICO scores range from 300 to 850. A consumer with a high FICO score is perceived to be a low credit risk to the lender and is more likely to be...

  • 2. Hypothesis tests about a population mean, population standard deviation known Lenders tighten or loosen their...

    2. Hypothesis tests about a population mean, population standard deviation known Lenders tighten or loosen their standards for issuing credit as economic conditions change. One of the criteria lenders use to evaluate the creditworthiness of a potential borrower is her credit risk score, usually a FICO score. FICO scores range from 300 to 850. A consumer with a high FICO score is perceived to be a low credit risk to the lender and is more likely to be extended credit...

  • 5. Testing the population mean when the population standard deviation is known Lenders tighten or loosen...

    5. Testing the population mean when the population standard deviation is known Lenders tighten or loosen their standards for issuing credit as economic conditions change. One of the criteria lenders use to evaluate the creditworthiness of a potential borrower is her credit risk score, usually a FICO score. FICO scores range from 300 to 850. A consumer with a high FICO score is perceived to be a low credit risk to the lender and is more likely to be extended...

  • 1. We reject the null hypothesis only when: a. our sample mean is larger than the population mean. b. the p value asso...

    1. We reject the null hypothesis only when: a. our sample mean is larger than the population mean. b. the p value associated with our test statistic is greater than the significance level of the test we have chosen. c. our sample mean is smaller than the population mean. d. the p value associated with our test statistic is smaller than the significance level of the test we have chosen. 2. In a study of simulated juror decision making, researchers...

  • Case study Company Case Campbell Soup Company: Watching What You Eat You might think that a well-known, veteran consumer products company like the Campbell Soup Company has it made. After all, when pe...

    Case study Company Case Campbell Soup Company: Watching What You Eat You might think that a well-known, veteran consumer products company like the Campbell Soup Company has it made. After all, when people think of soup, they think of Campbell’s. In the $5 billion U.S. soup market, Campbell dominates with a 44 percent share. Selling products under such an iconic brand name should be a snap. But if you ask Denise Morrison, CEO of Campbell, she’ll tell you a different...

  • Read through the case study and answer the following questions: Using appropriate concepts and theories from...

    Read through the case study and answer the following questions: Using appropriate concepts and theories from Block 2, Session 2, identify and discuss three main threats and three main opportunities that should be considered by Yum! in expanding its global reach within emerging markets such as China. (25 marks) Twelve marks will be awarded on the basis of the appropriateness of the three main threats and three main opportunities that you have identified (two marks each); there are no standard...

  • STA2221 examples on CI & Testing of Hypothesis Name MULTIPLE CHOICE. Choose the one alternative that...

    STA2221 examples on CI & Testing of Hypothesis Name MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answer the question Provide an appropriate response. 1) Find the critical value,te for 0.99 and n-10. A) 3.250 B) 3.169 1.833 D) 2.262 2) Find the critical value to forc=0.95 and n=16. A) 2.947 B) 2.602 2120 D) 2.131 3) Find the value of E, the margin of error, for A) 1.69 B) 0.42 0.99, n=16 and s=2.6. C)...

  • Read the case study "Google, Apple, and Facebook Struggle for Your Internet Experience" on page 255....

    Read the case study "Google, Apple, and Facebook Struggle for Your Internet Experience" on page 255. Then discuss the advantages and disadvantages for each company. BUSINESS PROBLEM-SOLVING CASE Google, Apple, and Facebook Battle for Your Internet Experience Apple has a legacy of innovation on its side. In Three Internet titans Google, Apple, and 2011, it unveiled the potentially market disrupting Facebook are in an epic struggle to dominate your Siri (Speech Interpretation and Recognition Internet experience, and caught in the...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT