In: Statistics and Probability
4. A sample of employees at Jumbo Electronics was asked to indicate
a preference for 3 pension plans. The results are given below, Does
it seems that there is a relationship between the pension plan
selected and the job classification of the employees. Use point
0.01% significance level to calculate Chi Square.
Job Class Pension Plan
Plan A Plan B Plan C
Supervisor 10 13 29
Clerical 19 80 19
Labor 81 57 22
the null and alternative hypothesis are
Ho:there is a relationship between the pension plan selected and the job classification of the employees
Ha:there is not a relationship between the pension plan selected and the job classification of the employees
using excel>addin>phstat>multiple sample test>chi square test
we have
Chi-Square Test | ||||||||
Observed Frequencies | ||||||||
Pension Plan | Calculations | |||||||
Job | A | B | C | Total | fo-fe | |||
Supervisor | 10 | 13 | 29 | 52 | -7.33333 | -10.6364 | 17.9697 | |
Clerical | 19 | 80 | 19 | 118 | -20.3333 | 26.36364 | -6.0303 | |
Labor | 81 | 57 | 22 | 160 | 27.66667 | -15.7273 | -11.9394 | |
Total | 110 | 150 | 70 | 330 | ||||
Expected Frequencies | ||||||||
Pension Plan | ||||||||
Job | A | B | C | Total | (fo-fe)^2/fe | |||
Supervisor | 17.33333 | 23.63636 | 11.0303 | 52 | 3.102564 | 4.786364 | 29.27481 | |
Clerical | 39.33333 | 53.63636 | 25.0303 | 118 | 10.5113 | 12.9584 | 1.452821 | |
Labor | 53.33333 | 72.72727 | 33.93939 | 160 | 14.35208 | 3.401023 | 4.200108 | |
Total | 110 | 150 | 70 | 330 | ||||
Data | ||||||||
Level of Significance | 0.01 | |||||||
Number of Rows | 3 | |||||||
Number of Columns | 3 | |||||||
Degrees of Freedom | 4 | |||||||
Results | ||||||||
Critical Value | 13.2767 | |||||||
Chi-Square Test Statistic | 84.03947 | |||||||
p-Value | 2.43E-17 | |||||||
Reject the null hypothesis |
since p value of chi square test is 0.000 which is less than 0.01 so we reject Ho and conclude that there is not arelationship between the pension plan selected and the job classification of the employees