n May 2008, CNN reported that Sports Utility Vehicles (SUVs) are plunging toward the "endangered list". Due to soaring oil prices and environmental concerns, consumers are replacing gas-guzzling vehicles with fuel-efficientsmaller cars. As a result, there has been a big drop in the demand for new as well as used SUVs. A sales manager of a used car dealership for SUVs believes that it takes more than 90 days, on average, to sell an sUV. In order to test his claim, he samples 40 recently sold SUVs and find that it took an average of 95 days to sell an SUV. He believes that the population standard deviation is fairly stable at 20 days. Determine if the sales manager's claim is justifiable at 0.05
n May 2008, CNN reported that Sports Utility Vehicles (SUVs) are plunging toward the "endangered list". Due to soaring oil prices and environmental concerns, consumers are replacing gas-guzzling vehicles with fuel-efficientsmaller cars. As a result, there has been a big drop in the demand for new as well as used SUVs. A sales manager of a used car dealership for SUVs believes that it takes more than 90 days, on average, to sell an sUV. In order to test his claim, he samples 40 recently sold SUVs and find that it took an average of 95 days to sell an SUV. He believes that the population standard deviation is fairly stable at 20 days. Determine if the sales manager's claim is justifiable at 0.05
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter4: Equations Of Linear Functions
Section: Chapter Questions
Problem 4SGR
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Question
In May 2008, CNN reported that Sports Utility Vehicles (SUVs) are plunging toward the
"endangered list". Due to soaring oil prices and environmental concerns, consumers are
replacing gas-guzzling vehicles with fuel-efficientsmaller cars. As a result, there has been a
big drop in the demand for new as well as used SUVs. A sales manager of a used car
dealership for SUVs believes that it takes more than 90 days, on average, to sell an sUV. In
order to test his claim, he samples 40 recently sold SUVs and find that it took an average of 95
days to sell an SUV. He believes that the population standard deviation is fairly stable at 20
days. Determine if the sales manager's claim is justifiable at 0.05
Transcribed Image Text:Many small companies buy advertising without considering its effect. The marketing manager is trying
to make the case that "you have to spend money to make money." Spending on billboard
advertisements, in the manager's opinion, has a direct effect on sales. These are records for 7 months in
1000s:
Monthly expenditure on
25
16
42
34
10
21
19
billboards
Monthly sales
Develop a regression estimating equation. If the monthly expenditure on billboards is 20,000/- what is
the monthly sale generated
34
14
48
32
26
29
20
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