Before an increase in excise duty on tea, 800 people out of a sampleof 1000 were consumers of tea. After the increase in duty, 800people were consumers of tea in a sample of 1200 persons. Findwhether there is significant decrease in the consumption of tea afterthe increase in duty. LOS 5%.

The objective of the question is to determine if there is a significant decrease in the consumption…

Answered: Before an increase in excise duty on…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Before an increase in excise duty on tea, 800 people out of a sample of 1000 were consumers of tea. After the increase in duty, 800 people were consumers of tea in a sample of 1200 persons. Find whether there is significant decrease in the consumption of tea after the increase in duty. LOS 5%.