A large distriutor of cosmetics has kept his outstanding accounts receivable to a mean age of 18 days over the past year. This average is considered a standard by which to measure the efficiency of the credit and collections department. Management wishes to check if receivables in the current month is over standard and will do this at a significance level of 0.50. A random sample of 100 accounts yields an average of 20 days with a standard deviation of 9 days. what should management conclude? --
Hi,
I think there is a typo here and the level of significance should br 0.05. In this case,
