Test of Validity

Part 3. PRICING DECISION STRATEGIES

A. CUSTOMERS DEMAND
ITEMS
1
2
3
4
5
6
7

N
10
10
10
10
10
10
10

NSA
6
7
1
2
7
9
10

NSD
0
0
0
0
0
0
0

PSA
0.60
0.70
0.10
0.20
0.70
0.90
1.00

PSD
0
0
0
0
0
0
0

VI
0.60
0.70
0.10
0.20
0.70
0.90
1.00

INT.
MD
MD
PD
ND
MD
HD
HD

DI
0.30
0.35
0.05
0.10
0.35
0.45
0.50

INT.
Mdf
Mdf
Df
Df
Mdf
Mdf
Mdf

B. COMPETITORS ACTION
ITEMS
1
2
3
4
5
6
7
8

N
10
10
10
10
10
10
10
10

NSA
9
7
5
6
6
9
9
10

NSD
1
1
2
0
2
0
1
0

PSA
0.90
0.70
0.50
0.60
0.60
0.90
0.90
1.00

PSD
0.10
0.10
0.20
0
0.20
0
0.10
0

VI
0.80
0.60
0.30
0.60
0.40
0.90
0.80
1.00

INT.
HD
MD
MD
MD
MD
HD
HD
HD

DI
0.40
0.30
0.15
0.30
0.20
0.45
0.40
0.50

INT.
Mdf
Mdf
Df
Mdf
Df
Mdf
Mdf
Mdf

NSD
2
1
1
0
1

PSA
0.70
0.80
0.70
0.70
0.70

PSD
0.20
0.10
0.10
0
0.10

VI
0.50
0.70
0.60
0.70
0.60

INT.
MD
MD
MD
MD
MD

DI
0.25
0.35
0.30
0.35
0.30

INT.
Mdf
Mdf
Mdf
Mdf
Mdf

C. MARKET FORCES
ITEMS
1
2
3
4
5

N
10
10
10
10
10

NSA
7
8
7
7
7

D. GOVERNMENT LAWS AND REGULATIONS

ITEMS
1
2
3
4
5
6
7

N
10
10
10
10
10
10
10

NSA
10
10
6
7
8
8
6

NSD
0
0
0
1
0
0
1

PSA
1.00
1.00
0.60
0.70
0.80
0.80
0.60

PSD
0
0
0
0.10
0
0
0.10

VI
1.00
1.00
0.60
0.60
0.80
0.80
0.50

INT.
HD
HD
MD
MD
HD
HD
MD

DI
0.50
0.50
0.30
0.30
0.40
0.40
0.25

INT.
Mdf
Mdf
Mdf
Mdf
Mdf
Mdf
Mdf

PART 4. FINANCIAL PERSPECTIVE

A. GENERAL ACCOUNTING POLICIES
ITEMS
1
2
3
4
5

N
10
10
10
10
10

NSA
5
8
9
9
7

NSD
2
0
0
0
0

PSA
0.50
0.80
0.90
0.90
0.70

PSD
0.20
0
0
0
0

VI
0.30
0.80
0.90
0.90
0.70

INT.
MD
HD
HD
HD
MD

DI
0.15
0.40
0.45
0.45
0.35

INT.
Df
Mdf
Mdf
Mdf
Mdf

NSD
0
0
0
0
0

PSA
0.50
0.70
0.50
0.50
0.90

PSD
0
0
0
0
0

VI
0.50
0.70
0.50
0.50
0.90

INT.
MD
MD
MD
MD
HD

DI
0.25
0.35
0.25
0.25
0.45

INT.
Mdf
Mdf
Mdf
Mdf
Mdf

NSD
0
0
0
0
0

PSA
0.10
0.50
0.40
0.50
0.40

PSD
0
0
0
0
0

VI
0.10
0.50
0.40
0.50
0.40

INT.
ND
MD
MD
MD
MD

DI
0.05
0.25
0.20
0.50
0.20

INT.
Df
Mdf
Df
Mdf
Df

B. SOURCE DOCUMENTS
ITEMS
1
2
3
4
5

N
10
10
10
10
10

NSA
5
7
5
5
9

C. BOOKS OF ACCOUNTS
ITEMS
1
2
3
4
5

N
10
10
10
10
10

NSA
1
5
4
5
4

D. TAX IMPLICATIONS
ITEMS
1
2
3
4

N
10
10
10
10

NSA
5
8
7
5

NSD
0
0
0
0

PSA
0.50
0.80
0.70
0.50

PSD
0
0
0
0

VI
0.50
0.80
0.70
0.50

INT.
MD
HD
MD
MD

DI
0.25
0.40
0.35
0.25

INT.
Mdf
Mdf
Mdf
Mdf

PSD
0
0
0
0
0
0

VI
0.40
0.40
0.50
0.20
0.20
0.30

INT.
MD
MD
MD
ND
ND
MD

DI
0.20
0.20
0.25
0.10
0.10
0.15

INT.
Df
Df
Mdf
Df
Df
Df

INT.
MD
MD
HD
MD
MD
MD

DI
0.20
0.35
0.45
0.25
0.35
0.25

INT.
Df
Mdf
Mdf
Mdf
Mdf
Mdf

INT.
HD
HD
HD
HD
MD
HD
HD

DI
0.40
0.45
0.40
0.40
0.35
0.40
0.40

INT.
Mdf
Mdf
Mdf
Mdf
Mdf
Mdf
Mdf

E. FINANCIAL STATEMENTS AND REPORTING

ITEMS
1
2
3
4
5
6

N
10
10
10
10
10
10

NSA
4
4
5
2
2
3

NSD
0
0
0
0
0
0

PSA
0.40
0.40
0.50
0.20
0.20
0.30

PART 5. PROBLEMS ENCOUNTERED AND PROPOSED SOLUTIONS

A. PROBLEMS ENCOUNTERED
ITEMS
1
2
3
4
5
6

N
10
10
10
10
10
10

NSA
6
7
9
5
8
6

NSD
2
0
0
0
1
1

PSA
0.60
0.70
0.90
0.50
0.80
0.60

PSD
0.20
0
0
0
0.10
0.10

VI
0.40
0.70
0.90
0.50
0.70
0.50

B. PROPOSED SOLUTIONS TO PROBLEMS ENCOUNTERED

ITEMS
1
2
3
4
5
6
7

N
10
10
10
10
10
10
10

NSA
8
9
8
8
7
8
8

NSD
0
0
0
0
0
0
0

PSA
0.80
0.90
0.80
0.80
0.70
0.80
0.80

PSD
0
0
0
0
0
0
0

VI
0.80
0.90
0.80
0.80
0.70
0.80
0.80

PART 6. SOCIO-ECONOMIC AND ENVIRONMENTAL CONTRIBUTIONS

A. SOCIAL CONTRIBUTIONS
ITEMS
1
2
3
4
5
6

N
10
10
10
10
10
10

NSA
5
5
5
6
1
8

NSD
0
0
0
0
0
0

PSA
0.50
0.50
0.50
0.60
0.10
0.80

PSD
0
0
0
0
0
0

VI
0.50
0.50
0.50
0.60
0.10
0.80

INT.
MD
MD
MD
MD
ND
HD

DI
0.25
0.25
0.25
0.30
0.05
0.40

INT.
Mdf
Mdf
Mdf
Mdf
Df
Mdf

PSA
0.70
0.40
0.90
0.50
0.40
0.60
0.70
0.70

PSD
0
0
0
0
0
0
0
0

VI
0.70
0.40
0.90
0.50
0.40
0.60
0.70
0.70

INT.
MD
MD
HD
MD
MD
MD
MD
MD

DI
0.35
0.20
0.45
0.25
0.20
0.30
0.35
0.35

INT.
Mdf
Df
Mdf
Mdf
Df
Mdf
Mdf
Mdf

PSD
0
0
0

VI
0.60
0.80
0.70

INT.
MD
HD
MD

DI
0.30
0.40
0.35

INT.
Mdf
Mdf
Mdf

B. ECONOMIC CONTRIBUTIONS
ITEMS
1
2
3
4
5
6
7
8

N
10
10
10
10
10
10
10
10

NSA
7
4
9
5
4
6
7
7

NSD
0
0
0
0
0
0
0
0

C. ENVIRONMENTAL CONTRIBUTIONS
ITEMS
1
2
3

N
10
10
10

NSA
6
8
7

NSD
0
0
0

PSA
0.60
0.80
0.70

VALIDITY INDEX (VI)

RANGES OF VALUES
VI > .75
0.25 < VI < .75
VI < .25

VERBAL INTERPRETATION
ITEM IS HIGHLY DISCRIMINATING (HD)
ITEM IS MODERATELY DISCRIMINATING (MD)
ITEM IS NOT DISCRIMINATING (ND)

DIFFICULTY INDEX (DI)

RANGES OF VALUES

VERBAL INTERPRETATION

DI > .75

ITEM IS EASY (E)

0.25 < DI < .75

ITEM IS MODERATELY DIFFICULT (Mdf)

DI < .25

ITEM IS DIFFICULT (Df)

Test of Reliability
N
1
2
3
4
5
6
7
8
9
10

X
204
202
205
204
198
189
199
187
184
181
1953

Y
163
177
173
171
169
166
162
161
152
142
1636

N =

10

rht =

0.81 High Relationship

XY
33252
35754
35465
34884
33462
31374
32238
30107
27968
25702
320206

X
41616
40804
42025
41616
39204
35721
39601
34969
33856
32761
382173

rwt = 0.90 High Relationship

Y
26569
31329
29929
29241
28561
27556
26244
25921
23104
20164
268618