\n<\/p>\n

<\/p>\n

Purpose of Assignment<\/strong> <\/strong><\/p>\n

The purpose of the assignment is to develop students’ abilities in using datasets to apply the concepts of sampling distributions and confidence intervals to make management decisions. <\/strong><\/p>\n

Assignment Steps<\/strong> <\/strong><\/p>\n

Resources:<\/strong> Microsoft Excel^{\u00ae<\/sup>, The Payment Time Case Study, The Payment Time Case Data Set <\/p>\n}

Review<\/strong> the Payment Time Case Study and Data Set. <\/strong><\/p>\n

Develop<\/strong> a 700-word report including the following calculations and using the information to determine whether the new billing system has reduced the mean bill payment time:<\/p>\n

\n
• Assuming the standard deviation of the payment times for all payments is 4.2 days, construct a 95% confidence interval estimate to determine whether the new billing system was effective. State the interpretation of 95% confidence interval and state whether or not the billing system was effective.<\/li>\n
• Using the 95% confidence interval, can we be 95% confident that \u00b5 \u2264 19.5 days?<\/li>\n
• Using the 99% confidence interval, can we be 99% confident that \u00b5 \u2264 19.5 days?<\/li>\n
• If the population mean payment time is 19.5 days, what is the probability of observing a sample mean payment time of 65 invoices less than or equal to 18.1077 days? <\/strong><\/li>\n<\/ul>\n

  Format<\/strong> your assignment consistent with APA format<\/p>\n

  <\/p>\n

  
  <\/i><\/p>\n

  <\/p>\n

  Case Study \u2013 Payment Time Case Study<\/i><\/strong><\/p>\n

  <\/p>\n

  Major consulting firms such as Accenture, Ernst & Young Consulting, and Deloitte & Touche Consulting employ statistical analysis to assess the effectiveness of the systems they design for their customers. In this case<\/strong>,<\/strong> a consulting firm has developed an electronic billing system for a Stockton, CA, trucking company. The system sends invoices electronically to each customer\u2019s computer and allows customers to easily check and correct errors. It is hoped the new billing system will substantially reduce the amount of time it takes customers to make payments. Typical payment times\u2014measured from the date on an invoice to the date payment is received\u2014using the trucking company\u2019s old billing system had been 39 days or more. This exceeded the industry standard payment time of 30 days.<\/strong><\/p>\n

  <\/p>\n

  <\/strong><\/p>\n

  <\/p>\n

  The new billing system does not automatically compute the payment time for each invoice because there is no continuing need for this information. The management consulting firm believes the new system will reduce the mean bill payment time by more than 50 percent. The mean payment time using the old billing system was approximately equal to, but no less than, 39 days. Therefore, if \u00b5 denotes the new mean payment time, the consulting firm believes that \u00b5 will be less than 19.5 days. Therefore, to assess the system\u2019s effectiveness (whether \u00b5 < 19.5 days), the consulting firm selects a random sample of 65 invoices from the 7,823 invoices processed during the first three months of the new system\u2019s operation. Whereas this is the \ufb01rst time the consulting company has installed an electronic billing system in a trucking company, the \ufb01rm has installed electronic billing systems in other types of companies.<\/strong><\/p>\n

  <\/p>\n

  <\/strong><\/p>\n

  Analysis of results from these other companies show, although the population mean payment time varies from company to company, the population standard deviation of payment times is the same for different companies and equals 4.2 days. The payment times for the 65 sample invoices are manually determined and are given in the Excel^{\u00ae<\/sup> spreadsheet named \u201cThe Payment Time Case\u201d. If this sample can be used to establish that new billing system substantially reduces payment times, the consulting firm plans to market the system to other trucking firms<\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"}

  Purpose of Assignment The purpose of the assignment is to develop students’ abilities in using datasets to apply the concepts of sampling distributions and confidence intervals to make management decisions. Assignment Steps Resources: Microsoft Excel\u00ae, The Payment Time Case Study, The Payment Time Case Data Set Review the Payment Time Case Study and Data Set. […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_joinchat":[]},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/276070"}],"collection":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/comments?post=276070"}],"version-history":[{"count":1,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/276070\/revisions"}],"predecessor-version":[{"id":276074,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/276070\/revisions\/276074"}],"wp:attachment":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/media?parent=276070"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/categories?post=276070"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/tags?post=276070"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}