Question

In: Statistics and Probability

9. A soft drink company is interested in knowing whether there is a relationship between cola...

9. A soft drink company is interested in knowing whether there is a relationship between cola preference and age. A random sample of 800 people is chosen for a taste test. The results of the study are found in the following table. Is there sufficient evidence at the 0.005 level of significance to lead you to believe that there is an association between cola preference and age? *You can use your test value or the p-value to decide. Cola A Cola B Cola C 15-29 94 102 105 30-44 99 97 86 45-59 68 73 76 State the Hyp: Test Value is_____=______ P-value = ________ Decision:__________________________________________________ Conclusion:_______________________________________

Solutions

Expert Solution

Ho: given two variable are independent
H1: Given two variables are not independent
Observed Frequencies
0
0 15-29 30-44 45-59 Total
cola A 94 99 68 261
cola B 102 97 73 272
cola C 105 86 76 267
Total 301 282 217 800
Expected frequency of a cell = sum of row*sum of column / total sum
Expected Frequencies
15-29 30-44 45-59 Total
cola A 301*261/800=98.201 282*261/800=92.003 217*261/800=70.796 261
cola B 301*272/800=102.34 282*272/800=95.88 217*272/800=73.78 272
cola C 301*267/800=100.459 282*267/800=94.118 217*267/800=72.424 267
Total 301 282 217 800
(fo-fe)^2/fe
cola A 0.180 0.532 0.110
cola B 0.001 0.013 0.008
cola C 0.2053 0.7001 0.1766

Chi-Square Test Statistic,χ² = Σ(fo-fe)^2/fe =   1.927          
              
Level of Significance =   0.005          
Number of Rows =   3          
Number of Columns =   3          
Degrees of Freedom=(#row - 1)(#column -1) = (3- 1 ) * ( 3- 1 ) =   4          
              
p-Value =   0.7492   [Excel function: =CHISQ.DIST.RT(χ²,df) ]     
Decision:    p value > α , do not reject Ho         
there is not an association between cola preference and age

.................

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