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In: Statistics and Probability

The number of faults over a period of time was collected for a sample of 100...

The number of faults over a period of time was collected for a sample of 100 data transmission lines. We want to test if the data come from a Poisson distribution.

number of faults 0 1 2 3 4 5 >5
number of lines 38 30 16 9 5 2 0

(a) Assuming the number of faults for a data-transmission line, Yi , i = 1, . . . , 100, follows a Poisson distribution with parameter λ, find the maximum likelihood estimate of λ for these data.

(b) Test the hypothesis that the number of faults for a data-transmission line follows a Poisson distribution using the chi-squared test. Do we reject the null hypothesis at the 5% significance level? Hint: You should combine the observed data into several groups such that expected frequencies are greater or equal to 5 for each group.

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