Question: BACKGROUND INFO: Study done by the ABS, took data from small businesses on their asset-liability ratio, randomly selected 85 small businesses. NEEDED DATA: Still operational
BACKGROUND INFO:
Study done by the ABS, took data from small businesses on their asset-liability ratio, randomly selected 85 small businesses.
NEEDED DATA:
Still operational businesses asset liability ratios:
| Operational | Asset_Liability_Ratio |
| Yes | 1.81 |
| Yes | 1.91 |
| Yes | 1.53 |
| Yes | 1.81 |
| Yes | 2.21 |
| Yes | 1.72 |
| Yes | 1.92 |
| Yes | 1.3 |
| Yes | 1.39 |
| Yes | 1.39 |
| Yes | 1.63 |
| Yes | 1.78 |
| Yes | 1.32 |
| Yes | 2.22 |
| Yes | 1.49 |
| Yes | 1.32 |
| Yes | 1.83 |
| Yes | 1.77 |
| Yes | 1.4 |
| Yes | 2.02 |
| Yes | 1.65 |
| Yes | 1.53 |
| Yes | 2.14 |
| Yes | 1.91 |
| Yes | 1.71 |
| Yes | 1.95 |
| Yes | 2.16 |
| Yes | 1.63 |
| Yes | 1.73 |
| Yes | 1.53 |
| Yes | 1.94 |
| Yes | 1.55 |
| Yes | 1.75 |
| Yes | 1.56 |
| Yes | 1.77 |
| Yes | 1.32 |
| Yes | 1.55 |
| Yes | 1.83 |
| Yes | 1.63 |
| Yes | 1.78 |
| Yes | 1.86 |
| Yes | 2.1 |
| Yes | 1.59 |
| Yes | 1.77 |
| Yes | 1.74 |
| Yes | 1.96 |
| Yes | 1.64 |
| Yes | 1.65 |
| Yes | 1.79 |
| Yes | 1.82 |
| Yes | 2.12 |
| Yes | 1.35 |
| Yes | 1.87 |
| Yes | 0.41 |
Now closed businesses asset liability ratios:
| Operational | Asset_Liability_Ratio |
| No | 0.51 |
| No | 1.07 |
| No | 0.65 |
| No | 0.5 |
| No | 0.81 |
| No | 0.79 |
| No | 0.38 |
| No | 0.95 |
| No | 0.7 |
| No | 0.67 |
| No | 0.58 |
| No | 0.83 |
| No | 0.81 |
| No | 0.17 |
| No | 0.94 |
| No | 0.51 |
| No | 0.69 |
| No | 0.58 |
| No | 0.32 |
| No | 0.77 |
| No | 0.5 |
| No | 0.42 |
| No | 0.54 |
| No | 0.75 |
| No | 0.52 |
| No | 0.43 |
| No | 0.43 |
| No | 0.19 |
| No | 0.5 |
| No | 0.48 |
| No | 0.26 |
QUESTION:
An economisthascommentedthatbasedonherexperience she expected a difference of 1 in meanAsset_Liability_Ratio, for small businesses which were still operating five years later and those that were not. Use support from a hypothesis test performed at the 5% significance level to explain what you would conclude about the economist's comment.
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