. At the local mall, twostores, a department store and a boutique, sell coats. D

Question

.       At the local mall, twostores, a department store and a boutique, sell coats. During thepast holiday season, the department store sold 1000 coats while theboutique sold 100 coats. Thirty-six coats were returned to thedepartment store while only 10 coats were returned to the boutique.Which is a more valid measure of customerdissatisfaction—number of coats returned or percent of coatsreturned? Provide reasoning.

Table A.1. Comparison ofthe Two Measures

Measure

DepartmentStore

Boutique

Number of Returns

36

10

Percent of Returns

36/1000 = .036 or 3.6%

10/100 = .10 or 10%

Measure

DepartmentStore

Boutique

Number of Returns

36

10

Percent of Returns

36/1000 = .036 or 3.6%

10/100 = .10 or 10%

Explanation / Answer

As we know that if we take large sample then weget the Precise estimates Therefore here the valid measure of customerdissatisfaction is 3.6% from the department store

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