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Conduct the hypothesis test and provide the test statistic and the critical valu

ID: 3364304 • Letter: C

Question

Conduct the hypothesis test and provide the test statistic and the critical 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?

Cents portion of check

0-24

25-49

50-74

75-99

  

Number

35

24

16

25

The test statistic is

nothing.

(Round to three decimal places as needed.)

The critical value is

nothing.

(Round to three decimal places as needed.)

State the conclusion.

Reject

Do not reject

Upper H 0H0.

There

is not

is

sufficient evidence to warrant rejection of the claim that the four categories are equally likely. The results

do not appear

appear

to support the expectation that the frequency for the first category is disproportionately high.

Cents portion of check

0-24

25-49

50-74

75-99

  

Number

35

24

16

25

Explanation / Answer

The statistical software output for this problem is:

Chi-Square goodness-of-fit results:
Observed: Number
Expected: All cells in equal proportion

Hence,

Test statistic = 7.28

Critical value = 7.815

Do not reject; is not; do not appear

N DF Chi-Square P-value 100 3 7.28 0.0635