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A market research firm used a sample of individuals to rate the purchase potenti

ID: 3223840 • Letter: A

Question

A market research firm used a sample of individuals to rate the purchase potential of a particular product before and after the individuals saw a new television commercial about the product. The purchase potential ratings were based on a 0 to 10 scale, with higher values indicating a higher purchase potential. The null hypothesis stated that the mean rating "after" would be less than or equal to the mean rating "before." Rejection of this hypothesis would show that the commercial improved the mean purchase potential rating. Use = .05 and the following data to test the hypothesis and comment on the value of the commercial.

What are the hypotheses?
H0: µd is Selectgreater than or equal to 0greater than 0less than or equal to 0less than 0equal to 0not equal to 0Item 1
Ha: µd is Selectgreater than or equal to 0greater than 0less than or equal to 0less than 0equal to 0not equal to 0Item 2

Compute d (to 3 decimals).


Compute sd (to 1 decimal).

What is the p-value?
The p-value is Selectless than .005between .005 and .01between .01 and .025between .025 and .05between .05 and .10between .10 and .20greater than .20Item 5

What is your decision?
SelectSeeing the commercial improves the mean potential to purchaseCannot conclude seeing the commercial improves the mean potential to purchase

Purchase Rating Purchase Rating Individual After Before Individual After Before 1 6 5 5 3 5 2 6 4 6 8 7 3 8 8 7 6 6 4 5 3 8 7 7

Explanation / Answer

from above:

a) Ho: µd is less than or equal to 0

Ha:µd is  greater than 0

d =0.5

sd =1.3093

p-value =between .10 and .20

decision : Cannot conclude seeing the commercial improves the mean potential to purchase

please reply for doubt

after Before difference(d) 6 5 1 6 4 2 8 8 0 5 3 2 3 5 -2 8 7 1 6 6 0 7 7 0 mean 0.500 std deviaition 1.3093 std error= std dev/(n)^(1/2) 0.4629 t stat= (d)/std error 1.0801 p value = 0.1579
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