Question

In: Statistics and Probability

The ABC Logistics Company wishes to test a new truck routing algorithm. A random sample of...

The ABC Logistics Company wishes to test a new truck routing algorithm. A random sample of 20 trucks are enrolled in the test. The trucks are randomly assigned to two groups. Trucks in the first group are routed using the current algorithm. Trucks in the second group are routed using the proposed new algorithm. Performance of the algorithm is measured by the number of packages delivered on the test day.

Routing Algorithms	Number of Packages Delivered	Sample Mean	Sample Standard Deviation
Current Routing Algorithm	100, 106, 103, 105, 101, 103, 104, 101, 103, 102
Proposed New Routing Algorithm	108, 109, 103, 106, 108, 107, 104, 105, 106, 104

Use the P-value approach to test on whether the mean number of packages delivered are the same between the two groups. Assuming the variances are equal between the two groups.

Calculate the Cohen’s d.

Expert Solution

Answer:-

Given That:-

The ABC Logistics Company wishes to test a new truck routing algorithm. A random sample of 20 trucks are enrolled in the test. The trucks are randomly assigned to two groups. Trucks in the first group are routed using the current algorithm. Trucks in the second group are routed using the proposed new algorithm. Performance of the algorithm is measured by the number of packages delivered on the test day.

Routing Algorithms

Number of Packages Delivered

Sample

Mean

Sample

Standard

Deviation

Current

Routing

Algorithm

100,106,103,105,101,103,104,101,103,102

Proposed

New Routing

Algorithm

108,109,103,106,108,107,104,105,106,104

a.Use the P-value approach to test on whether the mean number of packages delivered are the same between the two groups. Assuming the variances are equal between the two groups.?

data -> data analysis ->

t-Test: Two-Sample Assuming Equal Variances

t-Test: Two-Sample Assuming Equal Variances

	Variable 1	Variable 2
Mean	102.8	106
Variance	3.5111111	4
Observations	10	10
Pooled Variance	3.7555556
Hypothesized Mean Difference	0
df	18
t Stat	-3.6923077
P(T<=t) one-tail	0 .0008335
t Critical one-tail	1.7340636
P(T<=t) two-tail	0.001667
t Critical two-tail	2.100922

p-value = 0.001667

since p-value < alpha

we reject the null hypothesis

we conclude that there is sufficient evidence that means are not equal
b.Calculate the Cohen’s d.?

cohen's d = |TS| * sqrt(1/n1 + 1/n2)

= 3.6923 * sqrt(1/10 + 1/10)

= 1.6512

orchestra answered 1 year ago

ABC Company is considering the purchase of a new garbage truck ON 1/1/20. The truck will...

ABC Company is considering the purchase of a new garbage truck ON 1/1/20. The truck will cost $40,000 and have useful life of 5 years with a salvage value of $0. The new truck is much more efficient than the old delivery truck and should increase the company’s annual cash operating income by $12,000. Straight-line depreciation will be used. The income tax rate is 25% and ABC Company’s hurdle rate is 10%. PRESENT VALUE TABLES ON THE EXAM’S LAST PAGE. Payback...

On December 1, 2015, ABC Company acquired a new delivery truck in exchange for an old...

On December 1, 2015, ABC Company acquired a new delivery truck in exchange for an old delivery truck that it had acquired in 2012. The old truck was purchased for $35,000 and had a book value of $13,300. On the date of the exchange, the old truck had a market value of $14,000. In addition, ABC paid $2000 cash for the new truck. The exchange lacked commercial substance. At what amount should ABC record the new truck for financial accounting...

ABC Delivery Company purchased a new delivery truck on January 1 with an original cost of...

ABC Delivery Company purchased a new delivery truck on January 1 with an original cost of $50,000. The company estimates it will use the truck for 5 years and drive a total of 100,000 miles. It plans to sell the truck at the end of the five years for $5,000. During the first year, the truck was driven 15,000 miles. What is the depreciation for the first year using the DoubleDeclining Balance method? $10,000 $18,000 $7,500 $20,000 $6,750 $9,000

The GenPik pharmaceutical company wishes to test their fertility medication on a large sample of families...

The GenPik pharmaceutical company wishes to test their fertility medication on a large sample of families with 8 children. To analyze their results, they have asked you to calculate the expected probabilities of such an event. (1) Create a probability distribution listing the outcomes and probabilities for the number of girls expected in 8 births (keep in mind that x will go from 0 to 8). (2) Calculate the mean, standard deviation, and variance of your probability distribution. (3) Using...

Company recently purchased a new delivery truck. The new truck cost $22,500, and it is expected...

Company recently purchased a new delivery truck. The new truck cost $22,500, and it is expected to generate net after-tax operating cash flows, including depreciation, of $6,250 per year. The truck has a 5-year expected life. The expected salvage values after tax adjustments for the truck are given below. The company's cost of capital is 12.5 percent. Year/ Annual Operating Cash Flow/ Salvage Value 0/ $22,500/ $22,500 1/ 6,250/ 17,500 2/ 6,250/ 14,000 3/ 6,250/ 11,000 4/ 6,250/ 5,000 5/...

Ms. Kathleen Boyd, director of logistics for the Scenic Calendar Company, wishes to evaluate two methods...

Ms. Kathleen Boyd, director of logistics for the Scenic Calendar Company, wishes to evaluate two methods of time series forecasting. She has collected quarterly calendar sales data from the years 2003 and 2004. 2003 . 2004 Qtr. Actual Sales Qtr. Actual Sales 1 1200 1 1300 2 800 2 800 3 200 3 250 4 1000 4 1200 a.Use the moving averages technique to find forecasted sales for the third quarter of 2009 based on actual sales from the previous...

. A researcher selects a random sample of 10 persons from a population of truck drivers...

. A researcher selects a random sample of 10 persons from a population of truck drivers and gives them a driver’s aptitude test. Their scores are 22,3,14,8,11,5,18,13,12, and 12. (a) Find the estimated standard error of the mean. (b) Find the 95% confidence interval for the population mean.

ABC Moving and Storage acquired a new truck for $100,000, paying $20,000 cash and signing a...

ABC Moving and Storage acquired a new truck for $100,000, paying $20,000 cash and signing a promissory note for the balance. According to the bill of sale, ABC also paid cash for sales tax of 8%, plus registration, tags and delivery fees of $400. The new truck is estimated to have a 5-year economic life and a residual (salvage) value of $8,400. ABC uses straight-line depreciation. Due to delays, the truck was not placed in service until April 1, 2020....

20. The Scampini Supplies Company recently purchased a new delivery truck. The new truck cost $22,500,...

20. The Scampini Supplies Company recently purchased a new delivery truck. The new truck cost $22,500, and it is expected to generate net after-tax operating cash flows, including depreciation, of $6,250 per year. The truck has a 5-year expected life. The expected salvage values after tax adjustments for the truck are given below. The company's cost of capital is 6 percent. Year Annual Operating Cash Flow Salvage Value 0 -$22,500 $22,500 1 6,250 17,500 2 6,250 14,000 3 6,250 11,000...

A company purchases a general purpose truck to make its deliveries. It wishes to analyze the financial...

A company purchases a general purpose truck to make its deliveries. It wishes to analyze the financial effects including taxes and depreciation. Its initial cost is 100,000. It generates 120,000 Before Tax Cash flow per year. It is to be Depreciated Using Double Declining Balance. The taxation rate is 40% including all state federal and local taxes. The effects will be analyzed for the first six years. Show in a spread sheet (or other reasonable display) for each year: The Before Tax Cash Flow , the yearly depreciation, the resulting taxable income, the...