In: Statistics and Probability
Solution:
Given:
Observed counts | Expected Percentage | |
---|---|---|
Reusable shopping bags | 152 | 60% |
Plastic | 120 | 32% |
Paper | 28 | 8% |
Level of significance =
We have to test if observed counts are different from expected counts.
Part a) State the hypotheses and identify the claim.
H0: The result of the survey is same as expected percentages. That is: the observed count distribution is same expected counts.
Vs
H1: The result of the survey is different from expected percentages. That is : the observed count distribution is different from expected counts.
Part b) Find the critical value.
df = k - 1 = 3- 1 = 2
Level of significance =
Look in Chi-square table for df = 2 and right tailed area = 0.01 and find Chi-square critical value.
Chi-square critical value = 9.210
Part c. Compute the test value.
We use TI 84 plus calculator to find Chi-square test statistic value.
Before that we need to find expected counts by using given expected percentage values.
We multiply N = 300 by given percentage value to get Expected counts.
Thus we get:
Observed counts | Calculations | Expected Counts | |
Reusable shopping bags | 152 | =300 X 0.60 | 180 |
Plastic | 120 | =300 X 0.32 | 96 |
Paper | 28 | =300 X 0.08 | 24 |
300 |
Use following steps in TI 84:
Step 1) Press STAT and select EDIT
Step 2) Under EDIT , select L1 and L2 column
Delete all numbers under L1 and L2 column
Under L1 column Enter Observed counts and Under L2 enter Expected Counts
Step 3) Now press STAT and select TESTS
Step 4) Under TESTS , select - GOF Test.
Step 4) Under -GOF Test, select L1 for Observed and L2 for Expected
( Note: L1 and L2 is already there, if not , press 2ND and 1 for L1 and 2ND and 2 for L2.)
df = 2
Click on calculate and press Enter.
Thus we get:
test statistic value = 11.022
Part d. Make the decision./Summarize the results
Decision Rule: Reject H0, if test statistic value > critical value, otherwise we fail to reject H0,
Since test statistic value = 11.022 > critical value = 9.210, we reject H0.
Thus we conclude that: the result of the survey is different from expected percentages.