
Chapter 13
PB
Hypothesis Testing for Categorical Data (Chi-Square Test)
495
Step 6: Analyse the data
Figure 13.11 shows the contingency table with expected frequencies and computed c
2
statistic
(Minitab output).
Step 7: Arrive at a statistical conclusion and business implication
At 95% con dence level, the critical value obtained from the chi-square table is χ
0056
2
12 59
.,
.= . c
2
is calculated as 29.173. Calculated value of c
2
statistic (29.173) is greater than the tabular value of c
2
statistic (12.59) and falls in the rejection region. Hence, the null hypothesis is rejected and the alternative
hypothesis is accepted.
There is enough evidence to ...