Deck 13: Inference for Counts: Chi-Square Tests
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Deck 13: Inference for Counts: Chi-Square Tests
1
You should use a pooled t-test versus a non-pooled t-test when
A) the samples are matched.
B) the variance of the two populations are equal.
C) the sample sizes of both groups are the same.
D) None of the above.
E) A and C.
A) the samples are matched.
B) the variance of the two populations are equal.
C) the sample sizes of both groups are the same.
D) None of the above.
E) A and C.
the variance of the two populations are equal.
2
An army depot that overhauls ground mobile radar systems is interested in improving its processes. One problem involves troubleshooting a particular component that has a
High failure rate after it has been repaired and reinstalled in the system. The shop floor
Supervisor believes that having standard work procedures in place will reduce the time
Required for troubleshooting this component. Time (in minutes) required troubleshooting
This component without and with the standard work procedure is recorded for a sample of
19 employees. Assuming that we define our differences as Time without standard work
Procedure - Time with standard work procedure, the correct alternative hypothesis is
A) µd = 0.
B) µd < 0.
C) µd > 0.
D) µd ≠ 0.
E) None of the above.
High failure rate after it has been repaired and reinstalled in the system. The shop floor
Supervisor believes that having standard work procedures in place will reduce the time
Required for troubleshooting this component. Time (in minutes) required troubleshooting
This component without and with the standard work procedure is recorded for a sample of
19 employees. Assuming that we define our differences as Time without standard work
Procedure - Time with standard work procedure, the correct alternative hypothesis is
A) µd = 0.
B) µd < 0.
C) µd > 0.
D) µd ≠ 0.
E) None of the above.
µd > 0.
3
Data were collected on annual personal time (in hours) taken by a random sample of 16 women and 7 men employed by a medium sized company. The women took an
Average of 24.75 hours of personal time per year with a standard deviation of 2.84 hours.
The men took an average of 21.89 hours of personal time per year with a standard
Deviation of 3.29 hours. The Human Resources Department believes that women tend to
Take more personal time than men because they tend to be the primary child care givers in
The family. The t-test for two means is appropriate in this situation because
A) women and men are dependent samples.
B) women and men are independent samples.
C) women and men are matched samples.
D) the observations are paired.
E) None of the above.
Average of 24.75 hours of personal time per year with a standard deviation of 2.84 hours.
The men took an average of 21.89 hours of personal time per year with a standard
Deviation of 3.29 hours. The Human Resources Department believes that women tend to
Take more personal time than men because they tend to be the primary child care givers in
The family. The t-test for two means is appropriate in this situation because
A) women and men are dependent samples.
B) women and men are independent samples.
C) women and men are matched samples.
D) the observations are paired.
E) None of the above.
women and men are independent samples.
4
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. Based on the data shown below, the null
Hypothesis was rejected and the agency concluded that the current distribution of property
Sales differs from the historical distribution. Based on an examination of the standardized
Residuals, which type of property had the most impact on the test results?
A) Condos
B) Townhouses
C) Homes
D) Commercial
E) Land
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. Based on the data shown below, the null
Hypothesis was rejected and the agency concluded that the current distribution of property
Sales differs from the historical distribution. Based on an examination of the standardized
Residuals, which type of property had the most impact on the test results?

A) Condos
B) Townhouses
C) Homes
D) Commercial
E) Land
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5
Which of the following is not an assumption or condition that needs to be checked for a two-sample t-test for the difference between two means?
A) Independent Groups
B) Randomization
C) 10% Condition
D) Nearly Normal Condition
E) All of the above must be checked.
A) Independent Groups
B) Randomization
C) 10% Condition
D) Nearly Normal Condition
E) All of the above must be checked.
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6
A contact lens wearer read that the producer of a new contact lens boasts that their 
A) Deciding that the new lenses are cheaper, when in fact they really are.
B) Deciding that the new lenses are cheaper, when in fact they are not.
C) Deciding that the new lenses are not really cheaper, when in fact they are.
D) Deciding that the new lenses are not really cheaper, when in fact they are not.
E) It does not matter.

A) Deciding that the new lenses are cheaper, when in fact they really are.
B) Deciding that the new lenses are cheaper, when in fact they are not.
C) Deciding that the new lenses are not really cheaper, when in fact they are.
D) Deciding that the new lenses are not really cheaper, when in fact they are not.
E) It does not matter.
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7
A type II error is committed when
A) we don't reject a null hypothesis that is true.
B) we reject a null hypothesis that is false.
C) we reject a null hypothesis that is true.
D) we don't reject a null hypothesis that is false.
E) none of the above
A) we don't reject a null hypothesis that is true.
B) we reject a null hypothesis that is false.
C) we reject a null hypothesis that is true.
D) we don't reject a null hypothesis that is false.
E) none of the above
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8
A local politician was interested in determining whether income level affects opinion regarding the government's bailout bill for easing the 2008 financial crisis on Wall Street.
He surveyed a sample of his constituents and got the following results. The calculated
Value of the Chi Square statistic is
A) 7.433
B) 29.13
C) 40.70
D) 5.999
E) 2.347
He surveyed a sample of his constituents and got the following results. The calculated
Value of the Chi Square statistic is

A) 7.433
B) 29.13
C) 40.70
D) 5.999
E) 2.347
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9
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:
What is the standardized residual associated with Townhouses?
A) 23.5
B) 4.85
C) 10.86
D) 2.38
E) Not enough information given to calculate.
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:

A) 23.5
B) 4.85
C) 10.86
D) 2.38
E) Not enough information given to calculate.
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10
An army depot that overhauls ground mobile radar systems is interested in improving its processes. One problem involves troubleshooting a particular component that has a
High failure rate after it has been repaired and reinstalled in the system. The shop floor
Supervisor believes that having standard work procedures in place will reduce the time
Required for troubleshooting this component. Time (in minutes) required troubleshooting
This component without and with the standard work procedure is recorded for a sample of
19 employees. In order to determine if having a standard work procedure in place
Reduces troubleshooting time, they should use
A) a one-tailed paired t-test.
B) a two-tailed test of two independent means.
C) a one-tailed test of two independent means.
D) a two-tailed paired t-test.
E) a test of two proportions.
High failure rate after it has been repaired and reinstalled in the system. The shop floor
Supervisor believes that having standard work procedures in place will reduce the time
Required for troubleshooting this component. Time (in minutes) required troubleshooting
This component without and with the standard work procedure is recorded for a sample of
19 employees. In order to determine if having a standard work procedure in place
Reduces troubleshooting time, they should use
A) a one-tailed paired t-test.
B) a two-tailed test of two independent means.
C) a one-tailed test of two independent means.
D) a two-tailed paired t-test.
E) a test of two proportions.
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11
In economic downturns, companies attempt to downsize their workforces by offering early retirement incentives to older employees. A survey of 723 companies found that
195 engage in such downsizing practices. The 99% confidence interval for the
Proportion of companies that downsize their workforces by offering early retirement
Incentives is
A) 0.19 to 0.35
B) 0.65 to 0.81
C) 0.19 to 0.47
D) 0.69 to 0.77
E) 0.23 to 0.31
195 engage in such downsizing practices. The 99% confidence interval for the
Proportion of companies that downsize their workforces by offering early retirement
Incentives is
A) 0.19 to 0.35
B) 0.65 to 0.81
C) 0.19 to 0.47
D) 0.69 to 0.77
E) 0.23 to 0.31
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12
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of
Purchases were for condominiums, 30% were for townhouses, 40% for single family
Homes, 10% for commercial properties and 5% for land. With changing demographics,
The agency wondered if the current distribution matches the historical distribution.
Recent data showed the following:
Which Chi-square test is most appropriate for this situation?
A) Goodness of Fit
B) Homogeneity
C) Independence
D) Proportional
E) None of the above.
Purchases were for condominiums, 30% were for townhouses, 40% for single family
Homes, 10% for commercial properties and 5% for land. With changing demographics,
The agency wondered if the current distribution matches the historical distribution.
Recent data showed the following:

A) Goodness of Fit
B) Homogeneity
C) Independence
D) Proportional
E) None of the above.
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13
A local politician was interested in determining whether income level affects opinion regarding the government's bailout bill for easing the 2008 financial crisis on Wall Street.
He surveyed a sample of his constituents and got the following results. The correct null
Hypothesis to be tested is
A) There is no relationship between income level and opinion.
B) There is a relationship between income level and opinion.
C) Opinion and income level are independent.
D) Both A and C
E) Both B and C
He surveyed a sample of his constituents and got the following results. The correct null
Hypothesis to be tested is

A) There is no relationship between income level and opinion.
B) There is a relationship between income level and opinion.
C) Opinion and income level are independent.
D) Both A and C
E) Both B and C
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14
Which factor listed below does not affect the power of a test?
A) Sample size
B) Standard deviation
C) Significance level
D) One-sided versus two-sided tests
E) All of the above
A) Sample size
B) Standard deviation
C) Significance level
D) One-sided versus two-sided tests
E) All of the above
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15
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:
The value of the Chi-square test statistic is
A) χ 2 = 5.993
B) χ 2 = 62.538
C) χ 2 = 101.482
D) χ 2 = 77.431
E) χ 2 = 8.101
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:

A) χ 2 = 5.993
B) χ 2 = 62.538
C) χ 2 = 101.482
D) χ 2 = 77.431
E) χ 2 = 8.101
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16
A local politician was interested in determining whether income level affects opinion regarding the government's bailout bill for easing the 2008 financial crisis on Wall Street.
He surveyed a sample of his constituents and performed a Chi-square test. The resulting
P-value was 0.024. At the 0.01 level of significance, he should conclude that
A) Income level affects opinion.
B) There is a relationship between income level and opinion.
C) Opinion and income level are independent.
D) Reject the null hypothesis.
E) Both B and D.
He surveyed a sample of his constituents and performed a Chi-square test. The resulting
P-value was 0.024. At the 0.01 level of significance, he should conclude that
A) Income level affects opinion.
B) There is a relationship between income level and opinion.
C) Opinion and income level are independent.
D) Reject the null hypothesis.
E) Both B and D.
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17
Shape-Up-By-Susie claims that participating in her exercise program will result in guaranteed weight loss in just 6 weeks. Five clients weighed themselves before and then
Again after participating in her program and the differences "weight after - weight
Before" were analyzed. Based on the relevant computer output shown below, we can say
A) This is a paired design.
B) This is a two tailed test.
C) This is one tailed test.
D) Both A and B.
E) Both A and C.
Again after participating in her program and the differences "weight after - weight
Before" were analyzed. Based on the relevant computer output shown below, we can say

A) This is a paired design.
B) This is a two tailed test.
C) This is one tailed test.
D) Both A and B.
E) Both A and C.
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18
Shape-Up-By-Susie claims that participating in her exercise program will result in guaranteed weight loss in just 6 weeks. Five clients weighed themselves before and then
Again after participating in her program and the differences "weight after - weight
Before" were analyzed. The relevant output is shown below. At the 0.05 level of
Significance, the correct conclusion is
A) Reject the null hypothesis.
B) Do not reject the null hypothesis.
C) Susie's claim is supported by the sample evidence.
D) Both A and C.
E) Both B and C.
Again after participating in her program and the differences "weight after - weight
Before" were analyzed. The relevant output is shown below. At the 0.05 level of
Significance, the correct conclusion is

A) Reject the null hypothesis.
B) Do not reject the null hypothesis.
C) Susie's claim is supported by the sample evidence.
D) Both A and C.
E) Both B and C.
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19
After computing a confidence interval, the investigator believes that the results are meaningless because the width of the interval is too large. In reconstructing the interval,
The investigator should
A) decrease the sample size
B) increase the level of confidence
C) increase the sample size
D) reduce the population variance
E) none of the above
The investigator should
A) decrease the sample size
B) increase the level of confidence
C) increase the sample size
D) reduce the population variance
E) none of the above
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20
A human resources manager at a large company wants to estimate the proportion of employees that would be interested in reimbursement for college courses. If she wishes
To be 95% confident that her estimate is within 5% of the true proportion, how many
Employees would need to be sampled?
A) 271
B) 385
C) 543
D) 646
E) 1234
To be 95% confident that her estimate is within 5% of the true proportion, how many
Employees would need to be sampled?
A) 271
B) 385
C) 543
D) 646
E) 1234
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21
A professor was interested in determining whether the prices of new textbooks in the bookstore were higher than if purchased online. She selected 6 textbooks and priced each
At the bookstore and online.
Based on her analysis, we can conclude at the 0.05 level of significance that
A) The prices are the same in the bookstore and online.
B) The prices are higher in the bookstore.
C) The prices are higher online.
D) The prices are different in the bookstore and online.
E) The analysis is not conclusive.
At the bookstore and online.

A) The prices are the same in the bookstore and online.
B) The prices are higher in the bookstore.
C) The prices are higher online.
D) The prices are different in the bookstore and online.
E) The analysis is not conclusive.
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22
Chris Columbus is responsible for controlling inventory levels for four types of sailboats sold by his company. Chris takes a sample of 48 boats sold over the past
Several months to determine if demand is the same for each type. His results are as
Follows:
At the 0.05 level of significance, the correct conclusion is
A) Evidence suggests that the demand is the same for different types of boats.
B) Evidence suggests that the demand is not the same for different types of boats.
C) Reject the null hypothesis.
D) Both A and C.
E) Both B and C.
Several months to determine if demand is the same for each type. His results are as
Follows:

A) Evidence suggests that the demand is the same for different types of boats.
B) Evidence suggests that the demand is not the same for different types of boats.
C) Reject the null hypothesis.
D) Both A and C.
E) Both B and C.
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23
A truck company wants on-time delivery for 98% of the parts they order from a metal manufacturing plant. They have been ordering from Hudson Manufacturing but will Switch to a new, cheaper manufacturer (Steel-R-Us) unless there is evidence that this New manufacturer cannot meet the 98% on-time goal. As a test the truck company Purchases a random sample of metal parts from Steel-R-Us, and then determines if These parts were delivered on-time. Which hypotheses should they test?
A)
B)
C)
D)
E)
A)

B)

C)

D)

E)

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24
The weights of soy patties sold by Veggie Burgers Delight are normally distributed. A random sample of 15 patties yields a mean weight of 3.8 ounces with a sample
Standard deviation of 0.5 ounces. At the 0.05 level of significance, perform a hypothesis
Test to see if the true mean weight is less than 4 ounces.
The correct conclusion at the 0.05 level of significance is
A) Do not reject the null hypothesis.
B) Reject the null hypothesis.
C) Evidence suggests that the mean weight is less than 4 ounces.
D) Both A and C.
E) Both B and C.
Standard deviation of 0.5 ounces. At the 0.05 level of significance, perform a hypothesis
Test to see if the true mean weight is less than 4 ounces.
The correct conclusion at the 0.05 level of significance is
A) Do not reject the null hypothesis.
B) Reject the null hypothesis.
C) Evidence suggests that the mean weight is less than 4 ounces.
D) Both A and C.
E) Both B and C.
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25
Which of the following is not an assumption or condition that needs to be checked for a paired t-interval?
A) Paired Data
B) Independent Groups
C) Randomization
D) 10% Condition
E) Nearly Normal Condition
A) Paired Data
B) Independent Groups
C) Randomization
D) 10% Condition
E) Nearly Normal Condition
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26
A sample of 30 year fixed mortgage rates at 12 randomly chosen credit unions yields a mean rate of 6.65 % and a sample standard deviation of 0.38%. A sample of 30 year
Fixed mortgage rates at 16 randomly selected banks yields a mean rate of 7.05% and a
Sample standard deviation of 0.22%. Are the mean rates different between credit unions
And banks? Relevant output is shown below. At the 0.05 level of significance, the
Correct conclusion is
A) Reject the null hypothesis.
B) Do not reject the null hypothesis.
C) Evidence suggests that there is a significant difference in mean mortgage rates
Between credit unions and banks.
D) Both A and C.
E) Both B and C.
Fixed mortgage rates at 16 randomly selected banks yields a mean rate of 7.05% and a
Sample standard deviation of 0.22%. Are the mean rates different between credit unions
And banks? Relevant output is shown below. At the 0.05 level of significance, the
Correct conclusion is

A) Reject the null hypothesis.
B) Do not reject the null hypothesis.
C) Evidence suggests that there is a significant difference in mean mortgage rates
Between credit unions and banks.
D) Both A and C.
E) Both B and C.
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27
Suppose that a manufacturer is testing one of its machines to make sure that the machine is producing more than 97% good parts()H0A: pp=>0.97 and H : 0.97 . The test results in a P-value of 0.102. In reality, the machine is producing 99% good Parts. What probably happens as a result of our testing?
A) We correctly fail to reject https://storage.examlex.com/TB34225555/
.
B) We correctly reject https://storage.examlex.com/TB34225555/
.
C) We reject
, making a Type I error.
D) We fail to reject
, making a Type I error.
E) We fail to reject
, making a Type II error.
A) We correctly fail to reject https://storage.examlex.com/TB34225555/

B) We correctly reject https://storage.examlex.com/TB34225555/

C) We reject

D) We fail to reject

E) We fail to reject

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28
A manufacturer of cordless electric shavers sampled 13 from a day's production and found the mean time of continuous usage without recharging to be 410 minutes with a Sample standard deviation of 30 minutes. We can assume that times are normally Distributed. We wish to test if the true mean operating time without recharging is more Than 400 minutes. The correct null and alternative hypotheses are
A)
B)
C)
D)
E)
A)

B)

C)

D)

E)

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29
Absorption rates into the body are important considerations when manufacturing a generic version of a brand-name drug. A pharmacist read that the absorption rate into
The body of a new generic drug (G) is the same as its brand-name counterpart (B). She
Has a researcher friend of hers run a small experiment to test
against the
Alternative
Which of the following would be a Type I error?
A) Deciding that the absorption rates are the same, when in fact they are.
B) Deciding that the absorption rates are different, when in fact they are.
C) Deciding that the absorption rates are the same, when in fact they are not.
D) Deciding that the absorption rates are different, when in fact they are not.
E) The researcher cannot make a Type I error, since he has run an experiment.
The body of a new generic drug (G) is the same as its brand-name counterpart (B). She
Has a researcher friend of hers run a small experiment to test

Alternative

A) Deciding that the absorption rates are the same, when in fact they are.
B) Deciding that the absorption rates are different, when in fact they are.
C) Deciding that the absorption rates are the same, when in fact they are not.
D) Deciding that the absorption rates are different, when in fact they are not.
E) The researcher cannot make a Type I error, since he has run an experiment.
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30
The weights of soy patties sold by Veggie Burgers Delight are normally distributed. A random sample of 15 patties yields a mean weight of 3.8 ounces with a sample standard Deviation of 0.5 ounces. At the 0.05 level of significance, perform a hypothesis test to See if the true mean weight is less than 4 ounces. The correct null and alternative hypotheses are
A)
B)
C)
D)
E)
A)

B)

C)

D)

E)

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31
The weights of soy patties sold by Veggie Burgers Delight are normally distributed. A random sample of 15 patties yields a mean weight of 3.8 ounces with a sample standard
Deviation of 0.5 ounces. At the .05 level of significance, perform a hypothesis test to see
If the true mean weight is less than 4 ounces.
The correct calculated value of the test statistic is
A) -0.4
B) 0.4
C) -1.55
D) 1.55
E) 2.79
Deviation of 0.5 ounces. At the .05 level of significance, perform a hypothesis test to see
If the true mean weight is less than 4 ounces.
The correct calculated value of the test statistic is
A) -0.4
B) 0.4
C) -1.55
D) 1.55
E) 2.79
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32
A manufacturer of cordless electric shavers sampled 13 from a day's production and found the mean time of continuous usage without recharging to be 410 minutes with a
Sample standard deviation of 30 minutes. We can assume that times are normally
Distributed. We wish to test if the true mean operating time without recharging is more
Than 400 minutes. The correct calculated value of the test statistic is
A) 1.20
B) -0.333
C) -2.52
D) -1.20
E) 2.79
Sample standard deviation of 30 minutes. We can assume that times are normally
Distributed. We wish to test if the true mean operating time without recharging is more
Than 400 minutes. The correct calculated value of the test statistic is
A) 1.20
B) -0.333
C) -2.52
D) -1.20
E) 2.79
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33
A manufacturer of cordless electric shavers sampled 13 from a day's production and found the mean time of continuous usage without recharging to be 410 minutes with a
Sample standard deviation of 30 minutes. We can assume that times are normally
Distributed. We wish to test if the true mean operating time without recharging is more
Than 400 minutes. The correct conclusion at the 0.05 level of significance is
A) Reject the null hypothesis.
B) Do not reject the null hypothesis.
C) Evidence suggests that the mean operating time is more than 400 minutes.
D) Both A and C.
E) Both B and C.
Sample standard deviation of 30 minutes. We can assume that times are normally
Distributed. We wish to test if the true mean operating time without recharging is more
Than 400 minutes. The correct conclusion at the 0.05 level of significance is
A) Reject the null hypothesis.
B) Do not reject the null hypothesis.
C) Evidence suggests that the mean operating time is more than 400 minutes.
D) Both A and C.
E) Both B and C.
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34
Chris Columbus is responsible for controlling inventory levels for four types of sailboats sold by his company. Chris takes a sample of 48 boats sold over the past
Several months to determine if demand is the same for each type. His results are as
Follows:
The correct null hypothesis to be tested is
A) Type of boat and demand are related.
B) The demand differs for each type of boat.
C) The demand is the same for each type of boat.
D) Both A and B.
E) Both A and C.
Several months to determine if demand is the same for each type. His results are as
Follows:

A) Type of boat and demand are related.
B) The demand differs for each type of boat.
C) The demand is the same for each type of boat.
D) Both A and B.
E) Both A and C.
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35
The residual, or the difference, between the observed frequency and the expected frequency is a reliable indicator. A standardized residual can also be computed for each
Cell. Which statements are true about standardized residuals?
A) Standardized residuals that have a positive value mean that the cell was over-
Represented in the actual sample, compared to the expected frequency.
B) The standardized residual can be compared against the critical z-value for your α
Level to determine significance.
C) Standardized residuals can be used to test the null hypothesis that the actual
Frequency equals the expected frequency for a specific cell versus the research
Hypothesis of a difference greater than zero.
D) Standardized residuals that have a negative value mean that the cell was under-
Represented in the actual sample, compared to the expected frequency.
E) All of the above.
Cell. Which statements are true about standardized residuals?
A) Standardized residuals that have a positive value mean that the cell was over-
Represented in the actual sample, compared to the expected frequency.
B) The standardized residual can be compared against the critical z-value for your α
Level to determine significance.
C) Standardized residuals can be used to test the null hypothesis that the actual
Frequency equals the expected frequency for a specific cell versus the research
Hypothesis of a difference greater than zero.
D) Standardized residuals that have a negative value mean that the cell was under-
Represented in the actual sample, compared to the expected frequency.
E) All of the above.
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36
An urban planning group is interested in estimating the difference in mean household income between two neighborhoods. They obtain the following 95% confidence
Interval: 95% CI for difference: (-5693, -4107). Which of the following is true?
A) This is a paired design.
B) There is no significant difference in the mean household incomes between the two
Neighborhoods at α = 0.05.
C) There is a significant difference in the mean household incomes between the two
Neighborhoods at α = 0.05.
D) Both A and B.
E) Both A and C.
Interval: 95% CI for difference: (-5693, -4107). Which of the following is true?
A) This is a paired design.
B) There is no significant difference in the mean household incomes between the two
Neighborhoods at α = 0.05.
C) There is a significant difference in the mean household incomes between the two
Neighborhoods at α = 0.05.
D) Both A and B.
E) Both A and C.
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37
Chris Columbus is responsible for controlling inventory levels for four types of sailboats sold by his company. Chris takes a sample of 48 boats sold over the past
Several months to determine if demand is the same for each type. His results are as
Follows:
The calculated value of the Chi Square statistic is
A) 7.815
B) 1.17
C) 22.35
D) -1.17
E) 12.56
Several months to determine if demand is the same for each type. His results are as
Follows:

A) 7.815
B) 1.17
C) 22.35
D) -1.17
E) 12.56
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38
A P-value indicates
A) the probability that the null hypothesis is true.
B) the probability that the alternative hypothesis is true.
C) the probability of the observed statistic given that the null hypothesis is true.
D) the probability of the observed statistic given that the alternative hypothesis is
True.
E) None of the above.
A) the probability that the null hypothesis is true.
B) the probability that the alternative hypothesis is true.
C) the probability of the observed statistic given that the null hypothesis is true.
D) the probability of the observed statistic given that the alternative hypothesis is
True.
E) None of the above.
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39
A sample of 30 year fixed mortgage rates at 12 randomly chosen credit unions yields a mean rate of 6.65 % and a sample standard deviation of 0.38%. A sample of 30 year
Fixed mortgage rates at 16 randomly selected banks yields a mean rate of 7.05% and a
Sample standard deviation of 0.22%. Are the mean rates different between credit unions
And banks? Relevant output is shown below. Which of the following is true?
A) This is a paired design.
B) This is a test of two means from independent samples.
C) This is a one tailed test.
D) Both A and C.
Fixed mortgage rates at 16 randomly selected banks yields a mean rate of 7.05% and a
Sample standard deviation of 0.22%. Are the mean rates different between credit unions
And banks? Relevant output is shown below. Which of the following is true?

A) This is a paired design.
B) This is a test of two means from independent samples.
C) This is a one tailed test.
D) Both A and C.
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40
We have created a 95% confidence interval for µ with the result (10, 15). What 
A) Reject the null hypothesis
B) Accept the null hypothesis
C) Fail to reject the null hypothesis.
D) Reject the alternative hypothesis.
E) No decision can be made from the information given.

A) Reject the null hypothesis
B) Accept the null hypothesis
C) Fail to reject the null hypothesis.
D) Reject the alternative hypothesis.
E) No decision can be made from the information given.
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41
Vending machines on a college campus offer a variety of drinks. The purchasing agent believes that each type of snack is equally preferred by students and consequently orders
Equal quantities. The number of snacks sold from vending machines on this campus for
The last six months is shown in the following table. The P-value of the calculated Chi-
Square statistic is 0.0458. At α = 0.05, we should
A) reject the null hypothesis.
B) not reject the null hypothesis.
C) conclude that the purchasing agent was not correct.
D) Both A and C.
E) Both B and C.
Equal quantities. The number of snacks sold from vending machines on this campus for
The last six months is shown in the following table. The P-value of the calculated Chi-
Square statistic is 0.0458. At α = 0.05, we should

A) reject the null hypothesis.
B) not reject the null hypothesis.
C) conclude that the purchasing agent was not correct.
D) Both A and C.
E) Both B and C.
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42
Vending machines on a college campus offer a variety of snacks. The purchasing agent believes that each type of snack is equally preferred by students and consequently
Orders equal quantities. The number of snacks sold from vending machines on this
Campus for the last six months is shown in the following table. The correct value of the
Test statistic for determining if the purchasing agent's belief if supported is
A) χ 2 = 8.012
B) χ 2 = 12.019
C) χ 2 = 0.984
D) χ 2 = 45.014
E) None of the above.
Orders equal quantities. The number of snacks sold from vending machines on this
Campus for the last six months is shown in the following table. The correct value of the
Test statistic for determining if the purchasing agent's belief if supported is

A) χ 2 = 8.012
B) χ 2 = 12.019
C) χ 2 = 0.984
D) χ 2 = 45.014
E) None of the above.
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43
A manufacturing plant for recreational vehicles receives shipments from three different parts vendors. There has been a defect issue with some of the electrical wiring in the
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The expected number of rejected
Parts from Perfect Parts Co. is
A) 53
B) 51.51
C) 57.68
D) 61.81
E) 171
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The expected number of rejected
Parts from Perfect Parts Co. is

A) 53
B) 51.51
C) 57.68
D) 61.81
E) 171
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44
Before being released to market, a drug company tests a new allergy medication for
potential side effects. A random sample of 160 individuals with allergies was selected for
the study. The new allergy medication was randomly assigned to 80 of them, and another
popular allergy medication already on the market (Brand C) was assigned to the rest. Out
of the 80 given the new allergy medication, 14 reported drowsiness; 22 of the 80 taking
Brand C reported drowsiness. Compute the 95% confidence interval for the difference
in proportions reporting drowsiness. Interpret.
potential side effects. A random sample of 160 individuals with allergies was selected for
the study. The new allergy medication was randomly assigned to 80 of them, and another
popular allergy medication already on the market (Brand C) was assigned to the rest. Out
of the 80 given the new allergy medication, 14 reported drowsiness; 22 of the 80 taking
Brand C reported drowsiness. Compute the 95% confidence interval for the difference
in proportions reporting drowsiness. Interpret.
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45
Vending machines on a college campus offer a variety of snacks. The purchasing agent believes that each type of snack is equally preferred by students and consequently
Orders equal quantities. The number of snacks sold from vending machines on this
Campus for the last six months is shown in the following table. The appropriate test to
See if the purchasing agent is correct is the
A) Chi-square test of independence.
B) Z-test for two proportions.
C) Chi-square goodness-of-fit test.
D) Chi-square test of homogeneity.
E) Normality test.
Orders equal quantities. The number of snacks sold from vending machines on this
Campus for the last six months is shown in the following table. The appropriate test to
See if the purchasing agent is correct is the

A) Chi-square test of independence.
B) Z-test for two proportions.
C) Chi-square goodness-of-fit test.
D) Chi-square test of homogeneity.
E) Normality test.
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46
A manufacturing plant for recreational vehicles receives shipments from three different parts vendors. There has been a defect issue with some of the electrical wiring in the
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The correct value of the test
Statistic for determining if the plant manager's belief is supported is
A) χ 2 = 8.10
B) χ 2 = 6.52
C) χ 2 = 5.03
D) χ 2 = 7.40
E) χ 2 = 9.89
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The correct value of the test
Statistic for determining if the plant manager's belief is supported is

A) χ 2 = 8.10
B) χ 2 = 6.52
C) χ 2 = 5.03
D) χ 2 = 7.40
E) χ 2 = 9.89
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47
By examining residuals, determine which type of snack had the most impact on the
test results? What are the implications for the purchasing agent?
test results? What are the implications for the purchasing agent?
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48
A manufacturing plant for recreational vehicles receives shipments from three different parts vendors. There has been a defect issue with some of the electrical wiring in
The recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The P-value of the calculated Chi-
Square statistic is 0.1161. At α = 0.05, we should
A) reject the null hypothesis.
B) not reject the null hypothesis.
C) conclude that the defects do not vary by vendor.
D) both A and C.
E) both B and C.
The recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The P-value of the calculated Chi-
Square statistic is 0.1161. At α = 0.05, we should

A) reject the null hypothesis.
B) not reject the null hypothesis.
C) conclude that the defects do not vary by vendor.
D) both A and C.
E) both B and C.
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49
Previous surveys reported that more men than women trade stocks online. A local
brokerage firm randomly selected a sample of investors. They found that 45 out of 234
men traded online and 42 out of 251 women traded online. Find the 95% confidence
interval for the difference in proportions. Interpret.
brokerage firm randomly selected a sample of investors. They found that 45 out of 234
men traded online and 42 out of 251 women traded online. Find the 95% confidence
interval for the difference in proportions. Interpret.
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50
An online department store wants to determine if there is an association between coupon redemption and gender. After a special coupon broadcast to its reward members,
The following data on coupon redemption at check out were collected. The correct value
Of the test statistic is
Coupon Redeemed?
A) χ 2 = 5.339
B) χ 2 = 8.429
C) χ 2 = 0.839
D) χ 2 = 45.556
E) None of the above.
The following data on coupon redemption at check out were collected. The correct value
Of the test statistic is
Coupon Redeemed?

A) χ 2 = 5.339
B) χ 2 = 8.429
C) χ 2 = 0.839
D) χ 2 = 45.556
E) None of the above.
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51
By examining residuals, determine which type of property had the most impact on the
test results? What are the implications for the real estate agency?
test results? What are the implications for the real estate agency?
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52
Vending machines on a college campus offer a variety of snacks. The purchasing agent believes that each type of snack is equally preferred by students and consequently
Orders equal quantities. The number of snacks sold from vending machines on this
Campus for the last six months is shown in the following table. If the purchasing agent is
Correct, how many candy bars would we expect to have been sold?
A) 170
B) 198
C) 125
D) 180
E) 680
Orders equal quantities. The number of snacks sold from vending machines on this
Campus for the last six months is shown in the following table. If the purchasing agent is
Correct, how many candy bars would we expect to have been sold?

A) 170
B) 198
C) 125
D) 180
E) 680
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53
A manufacturing plant for recreational vehicles receives shipments from three different parts vendors. There has been a defect issue with some of the electrical wiring in the
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The expected number of perfect
Parts from Made-4-U Co. is
A) 75.9
B) 91.08
C) 71
D) 61.81
E) 252
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. The expected number of perfect
Parts from Made-4-U Co. is

A) 75.9
B) 91.08
C) 71
D) 61.81
E) 252
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54
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data
on the various types of properties purchased in the area. Historically, 15% of purchases
were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
for commercial properties and 5% for land. With changing demographics, the agency
wondered if the current distribution matches the historical distribution. Recent data
showed the following:
Type of Property Condos Townhouses Homes Commercial Land
Frequency 89 121 78 25 12
A. State appropriate hypotheses to test whether the purchasing agent is correct.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
on the various types of properties purchased in the area. Historically, 15% of purchases
were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
for commercial properties and 5% for land. With changing demographics, the agency
wondered if the current distribution matches the historical distribution. Recent data
showed the following:
Type of Property Condos Townhouses Homes Commercial Land
Frequency 89 121 78 25 12
A. State appropriate hypotheses to test whether the purchasing agent is correct.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
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55
A manufacturing plant for recreational vehicles receives shipments from three different parts vendors. There has been a defect issue with some of the electrical wiring in the
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. Which Chi-square test is most
Appropriate for this situation?
A) Goodness of Fit
B) Homogeneity
C) Dependence
D) Proportional
E) None of the above.
Recreational vehicles manufactured at the plant. The plant manager believes that the
Defect issue is dependent on the parts vendor. The plant manager reviews a sample of
Quality assurance inspections from the last six months. Which Chi-square test is most
Appropriate for this situation?

A) Goodness of Fit
B) Homogeneity
C) Dependence
D) Proportional
E) None of the above.
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56
An online department store wants to determine if there is an association between coupon redemption and gender. After a special coupon broadcast to its reward members,
The following data on coupon redemption at check out were collected. Which Chi-square
Test is most appropriate for this situation?
A) Goodness of Fit
B) Homogeneity
C) Independence
D) Proportional
E) None of the above.
The following data on coupon redemption at check out were collected. Which Chi-square
Test is most appropriate for this situation?

A) Goodness of Fit
B) Homogeneity
C) Independence
D) Proportional
E) None of the above.
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57
An online book store wants to determine if coupon redemption is independent of
gender. After a special coupon broadcast to its reward members, the following data on
coupon redemption at check out were collected.
Coupon Redeemed?
A. State appropriate hypotheses to determine whether coupon redemption is independent
of gender.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
gender. After a special coupon broadcast to its reward members, the following data on
coupon redemption at check out were collected.
Coupon Redeemed?

A. State appropriate hypotheses to determine whether coupon redemption is independent
of gender.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
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58
Vending machines on a college campus offer a variety of snacks. The purchasing agent believes that each type of snack is equally preferred by students and consequently
Orders equal quantities. The null hypothesis to test his belief can be worded as
A) The types of snacks are not uniformly distributed among the students buying snacks.
B) The types of snacks are uniformly distributed among the students buying snacks.
C) The types of snacks are independent from each other.
D) The distribution of type of snack purchases follows the normal distribution.
E) None of the above.
Orders equal quantities. The null hypothesis to test his belief can be worded as
A) The types of snacks are not uniformly distributed among the students buying snacks.
B) The types of snacks are uniformly distributed among the students buying snacks.
C) The types of snacks are independent from each other.
D) The distribution of type of snack purchases follows the normal distribution.
E) None of the above.
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59
A manufacturing plant for recreational vehicles receives shipments from three
different parts vendors. There has been a defect issue with some of the electrical wiring in
the recreational vehicles manufactured at the plant. The plant manager believes that the
defect issue is dependent on the parts vendor. The plant manager reviews a sample of
quality assurance inspections from the last six months.
A. State appropriate hypotheses to test the plant manager's belief.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
different parts vendors. There has been a defect issue with some of the electrical wiring in
the recreational vehicles manufactured at the plant. The plant manager believes that the
defect issue is dependent on the parts vendor. The plant manager reviews a sample of
quality assurance inspections from the last six months.

A. State appropriate hypotheses to test the plant manager's belief.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
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60
Vending machines on a college campus offer a variety of snacks. The purchasing
agent believes that each type of snack is equally preferred by students and consequently
orders equal quantities. The number of snacks sold from vending machines on this
campus for the last six months is shown in the following table.
A. State appropriate hypotheses to test whether the purchasing agent is correct.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
agent believes that each type of snack is equally preferred by students and consequently
orders equal quantities. The number of snacks sold from vending machines on this
campus for the last six months is shown in the following table.

A. State appropriate hypotheses to test whether the purchasing agent is correct.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = .05.
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61
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:
Based on the historical distribution, we would expect how many homes to be purchased?
A) 121
B) 122.54
C) 130
D) 129.95
E) 100
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:

A) 121
B) 122.54
C) 130
D) 129.95
E) 100
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62
Before being released to market, a drug company tests a new allergy medication for potential side effects. A random sample of 160 individuals with allergies was selected for
The study. The new allergy medication was randomly assigned to 80 of them, and another
Popular allergy medication already on the market (Brand C) was assigned to the rest. Out
Of the 80 given the new allergy medication, 14 reported drowsiness; 22 of the 80 taking
Brand C reported drowsiness. The 95% confidence interval for the difference in
Proportions reporting drowsiness is -0.028 to 0.228. Which of the following is correct?
A) We are 95% confident that there is no difference between the proportions of patients
Reporting drowsiness for the two allergy medications.
B) We are 95% confident that there is a difference between the proportions of patients
Reporting drowsiness for the two allergy medications.
C) We are 95% confident that the proportion of patients reporting drowsiness is higher
For the new allergy medication.
D) We are 95% confident that the proportion of patients reporting drowsiness is lower
For the new allergy medication.
E) There will be a significant difference between the proportions 95% of the time.
The study. The new allergy medication was randomly assigned to 80 of them, and another
Popular allergy medication already on the market (Brand C) was assigned to the rest. Out
Of the 80 given the new allergy medication, 14 reported drowsiness; 22 of the 80 taking
Brand C reported drowsiness. The 95% confidence interval for the difference in
Proportions reporting drowsiness is -0.028 to 0.228. Which of the following is correct?
A) We are 95% confident that there is no difference between the proportions of patients
Reporting drowsiness for the two allergy medications.
B) We are 95% confident that there is a difference between the proportions of patients
Reporting drowsiness for the two allergy medications.
C) We are 95% confident that the proportion of patients reporting drowsiness is higher
For the new allergy medication.
D) We are 95% confident that the proportion of patients reporting drowsiness is lower
For the new allergy medication.
E) There will be a significant difference between the proportions 95% of the time.
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63
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. Based on the data shown below, the null
Hypothesis was rejected and the agency concluded that the current distribution of property
Sales differs from the historical distribution. Based on an examination of the standardized
Residuals, which type of property had the most impact on the test results?
A) Condos
B) Townhouses
C) Homes
D) Commercial
E) Land
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. Based on the data shown below, the null
Hypothesis was rejected and the agency concluded that the current distribution of property
Sales differs from the historical distribution. Based on an examination of the standardized
Residuals, which type of property had the most impact on the test results?

A) Condos
B) Townhouses
C) Homes
D) Commercial
E) Land
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64
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:
What is the standardized residual associated with Townhouses?
A) 23.5
B) 4.85
C) 10.86
D) 2.38
E) Not enough information given to calculate.
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:

A) 23.5
B) 4.85
C) 10.86
D) 2.38
E) Not enough information given to calculate.
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65
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:
Which Chi-square test is most appropriate for this situation?
A) Goodness of Fit
B) Homogeneity
C) Independence
D) Proportional
E) None of the above.
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:

A) Goodness of Fit
B) Homogeneity
C) Independence
D) Proportional
E) None of the above.
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66
Previous surveys reported that more men than women trade stocks online. A local brokerage firm randomly selected a sample of investors. They found that 45 out of 234
Men traded online and 42 out of 251 women traded online. The 95% confidence interval
For the difference in proportions is
A) 4% to 9%
B) -4% to 9%
C) 2% to 12%
D) -2% to 12%
E) -2% to -4%
Men traded online and 42 out of 251 women traded online. The 95% confidence interval
For the difference in proportions is
A) 4% to 9%
B) -4% to 9%
C) 2% to 12%
D) -2% to 12%
E) -2% to -4%
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67
A real estate agency, located in a metropolitan area in the northeastern U.S., kept data on the various types of properties purchased in the area. Historically, 15% of purchases
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:
The value of the Chi-square test statistic is
A) χ 2 = 5.993
B) χ 2 = 62.538
C) χ 2 = 101.482
D) χ 2 = 77.431
E) χ 2 = 8.101
Were for condominiums, 30% were for townhouses, 40% for single family homes, 10%
For commercial properties and 5% for land. With changing demographics, the agency
Wondered if the current distribution matches the historical distribution. Recent data
Showed the following:

A) χ 2 = 5.993
B) χ 2 = 62.538
C) χ 2 = 101.482
D) χ 2 = 77.431
E) χ 2 = 8.101
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68
An online department store wants to determine if there is an association between coupon redemption and gender. After a special coupon broadcast to its reward members,
The following data on coupon redemption at check out were collected. The P-value
Associated with the calculated Chi-square statistic is 0.0209. At α = 0.05 the correct
Conclusion is
Coupon Redeemed?
A) to reject the null hypothesis.
B) to accept the null hypothesis.
C) to conclude that there is an association between coupon redemption and gender.
D) Both A and C.
E) Both B and C.
The following data on coupon redemption at check out were collected. The P-value
Associated with the calculated Chi-square statistic is 0.0209. At α = 0.05 the correct
Conclusion is
Coupon Redeemed?

A) to reject the null hypothesis.
B) to accept the null hypothesis.
C) to conclude that there is an association between coupon redemption and gender.
D) Both A and C.
E) Both B and C.
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