The use of preservatives by food processors has become a controversial issue Suppose two preservatives areextensively tested and determined safe for use in meats. A processor wants to compare the preservatives for theireffects on retarding spoilage. Suppose 16 cuts of fresh meat are treated with preservative I and 16 are treated withpreservative II, and the number of hours until spoilage begins is recorded for each of the 32 cuts of meat. The resultsare summarized in the table below.4Preservative IPreservative IIX-96 54 hours51-18.8 hoursX106.4 hours5-10.1 hoursSuppose ax = 0.01. Which of the following represents the result of the relevanthypothesis test?1) The null hypothesis is not rejected.2) The null hypothesis is rejected.3) The alternative hypothesis is rejected.4) Insufficient information exists on which to make a decision.

The correct option is 1) The null hypothesis is not rejected.Here's why:A hypothesis test is a…

Answered: The use of preservatives by food…

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter6: Statistical Inference

Section: Chapter Questions

Problem 28P

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JFI Foods produces processed foods. Its basic ingredient is a feedstock that is mixed with other ingredients to produce the final packaged product. JFI purchases the feedstock from two suppliers, Rex Materials and Red Oak Chemicals. The quality of the final product depends directly on the quality of the feedstock. If the feedstock is not correct, JFI has to dispose of the entire batch. All feedstock in this business is occasionally "bad," so JFI measures what it calls the "yield," which is measured as, Yield = Good output ÷ Input where the output and inputs are both measured in tons. As a benchmark, JFI expects to get 11 tons of good output for every 20 tons of feedstock purchased for a yield of 55 percent (= 11 tons of output ÷ 20 tons of feedstock). Data on the two suppliers for the past year follow: Rex Materials Red Oak Chemicals Total Total inputs purchased (tons) 1,380 2,280 3,660 Good output (tons) 1,311 1,578 2,889 Average price…
JFI Foods produces processed foods. Its basic ingredient is a feedstock that is mixed with other ingredients to produce the final packaged product. JFI purchases the feedstock from two suppliers, Rex Materials and Red Oak Chemicals. The quality of the final product depends directly on the quality of the feedstock. If the feedstock is not correct, JFI has to dispose of the entire batch. All feedstock in this business is occasionally "bad," so JFI measures what it calls the "yield," which is measured as, Yield = Good output ÷ Input where the output and inputs are both measured in tons. As a benchmark, JFI expects to get 11 tons of good output for every 20 tons of feedstock purchased for a yield of 55 percent (= 11 tons of output ÷ 20 tons of feedstock). Data on the two suppliers for the past year follow: Rex Materials Red Oak Chemicals Total Total inputs purchased (tons) 1,380 2,280 3,660 Good output (tons) 1,311 1,578 2,889 Average price…
A manufacturer of packaging for companies that produce breakfast cereals is considering alternatives regarding the process it uses to pre-process carton paper used to make the packaging. Historically, the company has been using equipment which cuts raw carton paper received from its various suppliers. This cut paper is further painted and assembled into a box shape by two other pieces of equipment. Recently, however, most of its customers began requesting that certain design elements be pressed into the packaging, giving the packaging more visual appeal. The customers were willing to pay more for the added service, making it particularly lucrative for the firm to have incorporate this possibility into its packaging offerings. Managers believed that the existing equipment would be able to handle the new process with certain modifications. In addition to modifying the existing equipment, the company two other alternatives. All alternatives will be able to produce the desired result, will…
Cheyenne Landscaping plants grass seed as the basic landscaping for business campuses. During a recent month, the company worked on three projects (Remington, Chang, and Wyco). The company is interested in controlling the materials costs, namely the grass seed, for these plantings projects.In order to provide management with useful cost control information, the company uses standard costs and prepares monthly variance reports. Analysis reveals that the purchasing agent mistakenly purchased poor-quality seed for the Remington project. The Chang project, however, received higher-than-standard-quality seed that was on sale. The Wyco project received standard-quality seed. However, the price had increased and a new employee was used to spread the seed.Shown below are quantity and cost data for each project. Actual Standard Project Quantity Costs Quantity Costs Total Variance Remington 530 lbs. $1,272 440 lbs. $1,100 $172 U Chang 400…
McBurger, Inc., wants to redesign its kitchens to improve productivity and quality. Three designs, called designs K1, K2, and K3, are under consideration. No matter which design is used, daily production of sandwiches at a typical McBurger restaurant is for 500 sandwiches. A sandwich costs $1.50 to produce. Non-defective sandwiches sell, on the average, for $2.50 per sandwich. Defective sandwiches cannot be sold and are scrapped.The goal is to choose a design that maximizes the expected profit at a typical restaurant over a 300-day period. Designs K1, K2, and K3 cost $130,000 $150,000, and $170,000, respectively. Under design K1, there is a .80 chance that 90 out of each 100 sandwiches are non-defective and a .20 chance that 70 out of each 100 sandwiches are non-defective. Under design K2, there is a .85 chance that 90 out of each 100 sandwiches are non-defective and a .15 chance that 75 out of each 100 sandwiches are non-defective. Under design K3, there is a .90…
McBurger, Inc., wants to redesign its kitchens to improve productivity and quality. Three designs, called designs K1, K2, and K3, are under consideration. No matter which design is used, daily production of sandwiches at a typical McBurger restaurant is for 550 sandwiches. A sandwich costs $1.40 to produce. Non-defective sandwiches sell, on the average, for $2.50 per sandwich. Defective sandwiches cannot be sold and are scrapped. The goal is to choose a design that maximizes the expected profit at a typical restaurant over a 300-day period. Designs K1, K2, and K3 cost $100,000, $140,000, and $160,000, respectively. Under design K1, there is a .80 chance that 90 out of each 100 sandwiches are non-defective and a .20 chance that 70 out of each 100 sandwiches are non-defective. Under design K2, there is a .85 chance that 90 out of each 100 sandwiches are non-defective and a .15 chance that 75 out of each 100 sandwiches are non-defective. Under design K3, there is a…
A production line operation is designed to fill cartons with laundry detergent to a mean weight of 32 ounces. A sample of cartons is periodically selected and weighed to determine whether underfilling or overfilling is occurring. If the sample data lead to a conclusion of underfilling or overfilling, the production line will be shut down and adjusted to obtain proper filling. a. Formulate the null and alternative hypotheses that will help in deciding whether to shut down and adjust the production line. b. Comment on the conclusion and the decision when H0 cannot be rejected. c. Comment on the conclusion and the decision when H0 can be rejected.
Kathy’s Kettle Potato Chips produces gourmet chips distributed to chain sub shops throughout California. To ensure that their chips are of the highest quality and have taste appeal, Kathy has a rigorous inspection process. For quality control purposes, Kathy has a standard based on the number of pounds of chips inspected per hour and the number of pounds that pass or fail the inspection. Kathy expects that for every 1,000 pounds of chips produced, 200 pounds of chips will be inspected. Inspection of 200 pounds of chips should take 1 hour. Kathy also expects that 1% of the chips inspected will fail the inspection. During the month of May, Kathy produced 113,000 pounds of chips and inspected 22,300 pounds of chips in 120 hours. Of the 22,300 pounds of chips inspected, 215 pounds of chips failed to pass the inspection. Q. Compute two variances that help determine whether the time spent on inspections was more or less than expected.
Kathy’s Kettle Potato Chips produces gourmet chips distributed to chain sub shops throughout California. To ensure that their chips are of the highest quality and have taste appeal, Kathy has a rigorous inspection process. For quality control purposes, Kathy has a standard based on the number of pounds of chips inspected per hour and the number of pounds that pass or fail the inspection. Kathy expects that for every 1,000 pounds of chips produced, 200 pounds of chips will be inspected. Inspection of 200 pounds of chips should take 1 hour. Kathy also expects that 1% of the chips inspected will fail the inspection. During the month of May, Kathy produced 113,000 pounds of chips and inspected 22,300 pounds of chips in 120 hours. Of the 22,300 pounds of chips inspected, 215 pounds of chips failed to pass the inspection. Q. Compute two variances that can be used to evaluate the percentage of the chips that fails the inspection
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Campbell Soup Company incurs the following costs: a. Purchase of tomatoes by a canning plant for Campbell's tomato-soup products. b. Materials purchased for redesigning Pepperidge Farm biscuit containers to make biscuits stay fresh longer c. Payment to Backer, Spielvogel, Bates, the advertising agency, for advertising work on Healthy Request line of soup products d. Salaries of food technologists researching feasibility of a Prego pizza sauce that has minimal calories e. Payment to Safeway for redeeming coupons on Campbell's food products f. Cost of a toll-free telephone line used for customer inquiries about using Campbell's soup products g. Cost of gloves used by line operators on the Swanson Fiesta breakfast-food production line h. Cost of handheld computers used by Pepperidge Farm delivery staff serving major supermarket accounts Required Classify each cost item (a-h) as one of the business functions in the value chain

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