BKU2032
Example:
To meet customer demands, a manufacturer of running
shoes may wish to see whether buyers show a
preference for a specific style. If there were no
preference, one would expect each style to be selected
with equal frequency.
1. H0 : There is No difference or no change
Example: Buyers show no preference for a
specific style.
Formula 2
test
E
Where O = observed frequency
E = expected frequency (equal frequency = n/category)
With degree of freedom equal to the number of categories
minus 1
Assumptions
1. The data are obtained from a random sample
2. The expected frequency for each category must be 5 or more
1. State the hypothesis and identify the claim,
O E
2
2. Compute the test value. test
2
E
3. Find the critical value. The test is always right-
tailed since O – E are square and always
positive.
P-value
Reject H0
if P-value ≤ α
Lesson outcomes:
By the end of this topic you should be able to:
nij Eij
2
ni. n. j
where test
2
and Eij
Eij n.. Grand total
Habit
Insomnia 20 40
Not insomnia 10 80
College 27 42 31
Thank You