Essays on Potential Patrons Willingness to Pay Price for the Entrees Assignment

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The paper "Potential Patrons Willingness to Pay Price for the Entrees " is a great example of a finance and accounting assignment. The Anova table aids in testing if the expected average monthly spending differ between potential patrons residing in different zip codes. As shown in figure. .... .the p-value was 0.000 which is less than 0.05 hence we reject the null hypothesis. The conclusion, therefore, was that there is a statistically significant difference between the expected average monthly spending with the different zip codes as shown by the one-way ANOVA (F (3,396)=313.33, p=0.000). ANOVA How many total dollars do you spend per month in restaurants (for your meals only)?   Sum of Squares df Mean Square F Sig. Between Groups 2412752.027 3 804250.676 313.333 . 000 Within Groups 1016435.870 396 2566.757     Total 3429187.898 399       4.

Does the likelihood to patronize the restaurant differ between people with different income levels? A cross-tabulation was used to establish the relationship between the likelihood to patronize the restaurant and income levels. Three characteristics were put into consideration which was the categories must be independent, there exists an expected count of at least in every cell and that the values for the variable test are mutually exclusive. Figure. ... shows that majority of the high-income earners are very likely to patronize the new upscale restaurant 9% for those who earned $175,000.

On the other hand, the majority of the middle-income earners were undecided on their likelihood to patronize the new upscale restaurant (22.5% indecision for those who earned $62,500) The null hypothesis was that likelihood to patronize the new upscale restaurant and income level are independent. The alternative hypothesis states that the likelihood to patronize the new upscale restaurant and income level are not independent. Figure. .... shows that the chi-squared statistic with 24 degrees of freedom was 640.731and the p-value was 0.000 which was less than 0.05 (95% confidence level).

Since p< 0.05 the null hypothesis was therefore rejected and conclusions made that the likelihood to patronize the new upscale restaurant and income level are not independent.

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