A recent survey collected data about the exclusive use of cable TV and streaming services by people in a province.
Age 20-55 Age above 55 Total
Cable TV 200 300 500
Streaming 125 415 540
Total 325 715 1040
Part a)
A customer is selected at random. What is the probability that the customer uses cable TV services given that the customer belongs in the above 55 age group?
A. 500/1040
B. 300/500
C. 300/715
D. 300/1040
Part b)
Which of the following statements is true?
A. Type of service and age group are dependent, but they would be independent if we changed the second row of counts from 125, 415, 540 to 325, 215, 540.
B. Type of service and age group are dependent, but they would be independent if we changed the second row of counts from 125, 415, 540 to 240, 300, 540.
C. Type of service and age group are dependent, but they would be independent if we changed the second row of counts from 125, 415, 540 to 200, 340, 540.
D. Type of service and age group are independent.
E. Type of service and age group are dependent, but they would be independent if we changed the second row of counts from 125, 415, 540 to 216, 324, 540.
F. Type of service and age group are dependent, but they would be independent if we changed the second row of counts from 125, 415, 540 to 270, 270, 540.
Part c)
A streaming service provider would like to encourage more customers to buy their product. The 500 customers who use cable TV are invited to participate in the following experiment. Half of the customers aged 20-55 who use cable TV are randomized to receive the streaming service free for one month and the other half do not receive free streaming service. The customers above 55 who use cable TV services are randomized in a similar fashion. After six months, the proportion of age 20-55 customers who switch to purchasing the streaming services is compared between the free-service and no-free service groups. The same comparison is also done among the above 55 customers.
In the experiment described above, age group (age 20-55 versus age above 55) [CHECK ALL THAT APPLY]
A. is the response variable.
B. is the blocking variable.
C. defines the treatments.
D. defines the experimental units.
E. is none of the above.
Part d)
What is the purpose of performing the treatment randomization and comparison for the two age groups separately? Choose the most appropriate answer.
A. To control for the effect of age group on the customers' willingness to switch to purchasing streaming services.
B. To evaluate the effect of age group on the customers' willingness to switch to purchasing streaming services.
C. To ensure that both age group customers can participate in the study.
Part e)
To display the data for the two variables: type of service (free service vs. no-free service) and whether customers switch to purchasing streaming services after six months, what is the most appropriate display to use?
A. A scatterplot.
B. Side-by-side boxplots.
C. A histogram.
D. A stem-and-leaf display.
E. A contingency table.