EBK STATISTICAL TECHNIQUES IN BUSINESS
17th Edition
ISBN: 9781259924163
Author: Lind
Publisher: MCGRAW HILL BOOK COMPANY
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Chapter 8, Problem 23CE
To determine
Give the marketing research company that gives the more useful test results.
Give the reason for why the particular marketing research company that gives the more useful test results.
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Righetti Homes, a custom home builder in Arizona, is currently offering three models in a newly developed residential neighborhood in Scottsdale. The accompanying Specs worksheet includes the information about the three models, including selling prices, material costs, labor costs, buyer incentives (percent of the selling price), and average buyer upgrades (percent of the selling price). Righetti Homes plans to build 50 homes in the neighborhood, and it would like to estimate its total sales and profits in the new residential neighborhood.
Model A
Model B
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399,990
499,990
649,990
Material Costs
120,000
150,000
200,000
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150,000
200,000
330,000
Buyer Incentives (percent of the selling price)
3%
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6%
Average Buyer Upgrades (percent of the selling price)
12%
10%
8%
1. Build a spreadsheet model to help Righetti Homes estimate its total sales and profits in the new residential neighborhood. If Righetti Homes builds 10 Model A homes, what are…
Economist Arthur Laffer suggests that beyond a certain point, high tax rates depress the economy so much that they actually reduce tax revenues. He proposed tax reductions as a means of stimulating the economy and, as a result, increase tax revenues. In the mid 1990’s Time magazine reported that 30% of the US Congress supported a tax cut as a means of stimulating the economy and increasing tax revenues. Suppose at that time 5 members of congress were randomly selected for an interview and asked whether they supported a tax cut to stimulate the economy.
1.2) Find the probability that at least three of the five members of congress who were interviewed were in favour of a tax cut (rounded off to four decimals).
Assuming the market research was done properly and the 40% is representative, how many sales are expected if the publisher attempts to sell to 5,000 homes?
Chapter 8 Solutions
EBK STATISTICAL TECHNIQUES IN BUSINESS
Ch. 8 - Prob. 1SRCh. 8 - Prob. 2SRCh. 8 - The following is a list of 24 Marcos Pizza stores...Ch. 8 - The following is a list of 29 hospitals in the...Ch. 8 - Listed below are the 35 members of the Metro...Ch. 8 - Listed next are the 27 Nationwide Insurance agents...Ch. 8 - The years of service of the five executives...Ch. 8 - Prob. 5ECh. 8 - Prob. 6ECh. 8 - Prob. 7E
Ch. 8 - Prob. 8ECh. 8 - Prob. 9ECh. 8 - There are five sales associates at Mid-Motors...Ch. 8 - Prob. 4SRCh. 8 - Prob. 11ECh. 8 - Prob. 12ECh. 8 - Prob. 5SRCh. 8 - Prob. 15ECh. 8 - Prob. 16ECh. 8 - Prob. 17ECh. 8 - Prob. 18ECh. 8 - Prob. 19CECh. 8 - The Medical Assurance Company is investigating the...Ch. 8 - Prob. 21CECh. 8 - Prob. 22CECh. 8 - Prob. 23CECh. 8 - Prob. 24CECh. 8 - Prob. 25CECh. 8 - As a part of their customer-service program,...Ch. 8 - Prob. 27CECh. 8 - Prob. 28CECh. 8 - Prob. 29CECh. 8 - The Appliance Center has six sales representatives...Ch. 8 - Prob. 31CECh. 8 - Prob. 32CECh. 8 - Prob. 33CECh. 8 - Prob. 34CECh. 8 - Prob. 35CECh. 8 - A recent study by the Greater Los Angeles Taxi...Ch. 8 - Prob. 37CECh. 8 - Prob. 38CECh. 8 - Prob. 39CECh. 8 - Prob. 40CECh. 8 - Prob. 41CECh. 8 - Human Resource Consulting (HRC) surveyed a random...Ch. 8 - Over the past decade, the mean number of hacking...Ch. 8 - Prob. 44CECh. 8 - Prob. 45CECh. 8 - Prob. 46DACh. 8 - Prob. 47DACh. 8 - Prob. 48DA
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