Mathematics, 12.04.2021 20:50 Cjohnston742
You and a group of friends wish to start a company. You have an idea, and you are comparing startup incubators to apply to. (Start up incubators hold classes and help startups to contact venture capitalists and network with one another) Assume funding is normally distributed.
Incubator A has a 70% success ratio getting companies to survive at least 4 years from inception. The average venture funding of the 28 companies reaching that 4 year mark, is 1.3 million dollars with a standard deviation of 0.6 million Incubator B has a 40% success ratio getting companies to survive at least 4 years from inception. The average venture funding of the 20 companies reaching that 4 year mark, is 1.9 million dollars with a standard deviation of 0.55 million.
Incubator B has a 60% success ratio getting companies to survive at least 4 years from inception. The average venture funding of the 21 companies reaching that 4 year mark, is 1.9 million dollars with a standard deviation of 0.55 million.
Required:
a. Are the success ratios significantly different?
b. Is the average funding in incubator B significantly different from the average funding in a. (use a=0.01). Assume a normal distribution
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You and a group of friends wish to start a company. You have an idea, and you are comparing startup...
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