Conduct the hypothesis test and provide the test statistic, critical value and P

Question

Conduct the hypothesis test and provide the test statistic, critical value and P-value and state the conclusion. A person randomly selected 100 checks and recorded the cents portions of those checks. The table below lists those cents portions categorized according to the indicated values. Use a 0. 05 significance level to test the claim that the four categories are equally likely. The person expected that many checks for whole dollar amounts would result in a disproportionately high frequency for the first category but do the results support that expectation? The test statistic is (Type an integer or a decimal)

Explanation / Answer

H0: The four categories are equally likely

H1: The four categories are not equally likely

Let the los be alpha = 5%

The expected freqencies are calculated by using sum of observed values/ 4 = 100/4= 25

Test Statistic, X^2: 73.5200
Critical X^2: 7.814736

P-Value: 0.0000

Here P-value < alpha( = 0.05), So we reject H0

Thus we conclude that  The four categories are not equally likely

Oi Ei (Oi-Ei)^2/Ei 62 25 54.76 15 25 4 10 25 9 13 25 5.76 Total: 100 73.52

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