In: Statistics and Probability
Traditionally 35% of the students at Wortham University were in the Business College, 35% of the students were in the Liberal Arts College, and 30% of the students were in the Education College. To see whether or not the proportions have changed, a sample of 300 students was taken. Ninety of the sample students are in the Business College, 120 are in the Liberal Arts College, and 90 are in the Education College. The hypothesis is to be tested at the 5% level of significance. The critical value from the table equals
The following table is obtained:
Categories | Observed | Expected | (fo-fe)2/fe |
Category 1 | 90 | 300*0.35=105 | (90-105)2/105 = 2.143 |
Category 2 | 120 | 300*0.35=105 | (120-105)2/105 = 2.143 |
Category 3 | 90 | 300*0.30=90 | (90-90)2/90 = 0 |
Sum = | 300 | 300 | 4.286 |
(1) Null and Alternative Hypotheses
The following null and alternative hypotheses need to be tested:
H0:p1=0.35,p2=0.35,p3=0.30
Ha: the proportions have changed,
(2) Rejection Region
Based on the information provided, the significance level is α=0.05, the number of degrees of freedom is df=3−1=2, critical value = 5.991
so then the rejection region for this test is R={χ2:χ2 > 5.991}.
(3) Test Statistics
The Chi-Squared statistic is computed as follows:
χ2 = ∑(Oi−Ei)2 / Ei
= 2.143+2.143+0
=4.286
Decision about the null hypothesis
Since it is observed thatχ2=4.286 ≤χc2 =5.991, it is then concluded that the null hypothesis is not rejected.
Conclusion
It is concluded that the null hypothesis Ho is not rejected ,there is NOT enough evidence to claim that
proportions have changed,