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A company is interested in how workers respond to wage cuts. The company formed 30 teams, each consisting of two employees, to sell coffee machines.

A company is interested in how workers respond to wage cuts. The company formed 30 teams, each consisting of two employees, to sell coffee machines. All employees are paid the same daily wage initially. After a short period of time, teams were unknowingly randomly assigned to one of three pay-cut schemes (treatments). In treatment 1, one of the worker in the team receives a 25% pay cut while the other worker receives the same pay as before the treatment. In treatment 2, both workers in the team receive a 25% pay cut. In treatment 3, neither worker receives a pay cut. The file records the change in the number of coffee machines sold per day after the treatment. The company wants to know if the average change in the sales number differed depending on the which pay-cut scheme a team received.

1. Identify the sampling design.

2. Identify the dependent variable and the factor (the independent variable). Are these variables quantitative or qualitative? 3. Specify the null and the alternative hypothesis of interest to the company.

4. Specify the test statistic and its null distribution.

5. From this data, does the average change in sales number differ depending on which treatment the team received? Use a 1% significance level and the critical value approach for the test. Use appropriate Excel functions to conduct you analysis but do not copy/paste a screenshot of your Excel output. Present your test statistic and critical value rounded to two decimal places

image text in transcribed
Change in sales per day after the treatment (positive number indi Treatment 2 Treatment 1 (both (one work workers receives pay receive pay Treatment 3 cut) cuts) (no pay cut) -4.1 -3.2 0.1 -5.6 0.2 0.6 1.2 2.2 -0.7 1.2 -1.7 0.2 -1.3 -1.5 0.4 -6 0.7 1.1 -4.1 -0.9 0.2 -3.1 -0.4 -0.3 -1.3 -1.4 -0.1 -2.9 -2 0.4

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