1)You sell items on eBay to make some extra spending money while in college. You sell rather rare/exotic items you find at garage sales and estate sales. On eBay you can create listing for an item using 1 of 3 different formats. One option is an auction format in which people bid against each other until time runs out and the highest bidder gets the item. Another option is to set a "buy it now" (BIN) price and wait for someone who is willing to pay that price to purchase the item (just like in a regular store). Finally, you can combine both options so that people can either BIN or bid. Once a person bids the BIN option is forfeited and the listing functions just like a regular auction (as mentioned above). You are not sure which format you should use to list your item so that you get the most money possible. To find out, you look at all the prior sales that other eBay users had for the same rare/exotic item you are trying to sell. From all the listings you find, you randomly choose several listings and record the final selling price (data shown below).

What is the IV in this experiment?

What is the DV in this experiment?

What does the H₀ state for this experiment?

Using the appropriate NHST, determine which method (auction, BIN, or combination) is best for selling your rare/exotic item (Show ALL your work).

Explain, in plain language, how you came to your conclusion.

Auction BIN Combo

$129 $117 $101

$120 $100 $111

$123 $92 $103

$128 $125 $100

$125 $91 $96

$127 $113 $95

$105 $103 $96

$116 $110 $109

$113 $100 $101

$114 $103 $99

$112 $116 $111

$120 $92 $114

$109 $110 $97