Question

In: Statistics and Probability

It has been suggested that the highest priority of retirees is travel. Thus, a study was...

It has been suggested that the highest priority of retirees is travel. Thus, a study was conducted to investigate the differences in the length of stay of a trip for pre- and post-retirees. A sample of 689 travelers were asked how long they stayed on a typical trip. The observed results of the study are found below.

Number of nights Pre-Retirement Post-Retirement Total
4-7 243 167 410
8-13 77 68 145
14-21 39 51 90
22 or more 10 34 44
total 369 320 689

With this information, construct a table of estimated expected values.

Number of Nights Pre-retirement Post-retirement
4-7
8-13
14-21
22 or more

Now, with that information, determine whether the length of stay is independent of retirement using α=0.01.

(a) χ2=

(b) Find the degrees of freedom:

(c) The final conclusion is

A. There is not sufficient evidence to reject the null hypothesis that the length of stay is independent of retirement.

B. We can reject the null hypothesis that the length of stay is independent of retirement and accept the alternative hypothesis that the two are dependent
.

Solutions

Expert Solution

The statistical software output for this problem is :

Test statistics = 25.984

Degrees of freedom = 3

B. We can reject the null hypothesis that the length of stay is independent of retirement and accept the alternative hypothesis that the two are dependent


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