Statistics for Business: Decision Making and Analysis, 3rd Edition

Think About It

1. 21. (b) is largest; (a) is smallest.

2. 23.

   1. Yes. The proportions in the categories change noticeably from column to column.

   2. 4

   3. Whether the three columns represent equal numbers of cases.

3. 25. The total number of each type of income verification that was used.

4. 27. No. Stocks rise and fall together; the underlying events are dependent.

5. 29. After transforming numerical characteristics into categorical variables (such as by grouping incomes), compute χ² for various contingency tables of whether or not the customer defaults.

6. 31. A chi-squared test of independence (based on a 5 × 2 table).

7. 33.

   1. If dependent, recent customers don't complain about the same things as long-term customers.

   2. No, the counts would be dependent (not an SRS).

   3. Dependent ...