ANALYZE/INTERPRET THE STUDY AS WELL AS YOUR CONCLUSIONS FROMYOUR CALCULATIONS
DVR’s allow us to skip commercials when watching TV. Some alsoallow advertisers to see which ads are actually watched.Advertising research indicates that an ad has to be viewed by morethan 5% of households to be cost effective (at the very least breakeven) in the long run. A sample of 250 homes in Cincinnati weremonitored to determine viewers’ reactions to a fast food commercialthat featured a well-known band. The data revealed 20 of the homesactually viewed the ad
On the basis of this study, will thead be cost effective for the company? Use the 0.01 significancelevel.
