IBM Inc. is going to award a contract for fine-line pens to be used nationally i
ID: 3267873 • Letter: I
Question
IBM Inc. is going to award a contract for fine-line pens to be used nationally in its offices. Two suppliers, Bic and Pilot, have submitted bids. To determine the preference of office employees, brokers, and others, a personal preference test is to be conducted using a randomly selected sample of 20 employees. The 0.1 level of significance is to be used.
If the alternate hypothesis states that Bic is preferred over Pilot, is the sign test to be conducted as a one-tailed or a two-tailed test?
As each of the sample members told the researchers his or her preference, a “+” was recorded if it was Bic and a “–” if it was the Pilot fine-line pen. A count of the pluses revealed that 8 employees preferred Bic, 5 preferred Pilot, and 1 were undecided. What is n?
a.If the alternate hypothesis states that Bic is preferred over Pilot, is the sign test to be conducted as a one-tailed or a two-tailed test?
H0: The proportion preferring the pen suppliers is the same.H1: More prefer Bic than Pilot. (Click to select)This is a one-tail testThis is a two-tail test
Explanation / Answer
a) this is one-tailed test
b) n = 8+5 = 13
c) decision rule
reject Ho if there are 9 or more + sign
d) since 8 < 9
we fail to reject the null
d)