Reference no: EM13673918

A salesman enters a food-processing facility and claims that his new juice box filling machine can save the company money, because he is 95% confident it has less variation from the nominal setting than the company's current machine. A random sample of 25 juice boxes from the salesman's machine yields a standard deviation of 0.09 ounce. A random sample of 16 juice boxes from the company's current machine yields a standard deviation of 0.13 ounce. What can we conclude?

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AThe salesman is correct. We can say with 95% confidence that his machine has less variation from the nominal setting than the company's current machine
Incorrect
BThe salesman may be correct. It is not possible to prove he is correct, but indications are that his machine has less variation from the nominal setting than the company's current machine
CWe cannot show that the salesman is incorrect. We cannot prove that he is wrong, but indications are that the company's machine has the same variation as the salesman's machine
DThe salesman is incorrect. We cannot say with 95% confidence that the salesman's machine has less variation from the nominal setting than the company's current machine