In: Accounting
Cola Non-cola Teenagers 50 80 Adults 90 40 Apply the steps in testing a research hypothesis. Perform a chi-square test and interpret the results. Determine how to present the results. How might the results obtained from the test affect the advertising strategy? Apply the steps in testing a research hypothesis. Perform a chi-square test and interpret the results. Determine how to present the results. How might the results obtained from the test affect the advertising strategy?
Solution:-
The null hypothesis:
H0 = There is no relationship between the soft-drink preference and the age of the consumer.
The statistical test:
Critical values of Chi-Square
a= 0.05
d.f. (degrees of freedom) = 1
χ2 critical value = 3.841
Chi-Square Test:
Cola, Non-Cola Expected counts are printed below observed counts
Chi-Square contributions are printed below expected counts
Cola | Non-cola | Total | |
Teens | 50 | 80 | 130 |
70.00 | 60.00 | ||
5.714 | 6.667 | ||
Adults | 90 | 40 | 130 |
70.00 | 60.00 | ||
5.714 | 6.667 | ||
Total | 140 | 120 | 260 |
Chi-Sq = 24.762, DF = 1, P-Value = 0.000
Interpret the test:
The calculated chi-square value of 24.762 is larger than the critical value of 3.841 which means the null hypothesis (H0) must be rejected. The alternative hypothesis (Ha) is accepted, there is a relationship between the soft-drink preference and the age of the consumer.
Presenting the results:
The results should be presented with descriptive text, tables and graphs. This allows people that are visual thinkers to see a graphical representation or picture of the data.