Purchase Solution

Chi square goodness of fit test

Not what you're looking for?

Ask Custom Question

A large banking corporation believes that 80% of the loan applications it receives are approved within 24 hours. It decides to take a random sample of 10 loan applications every day for 3 months and record the number of the applications that are approved within 24 hours. The following data are obtained:

Number of Loan Applications in 10 Approved in 24 Hours Frequency
4 1
5 5
6 11
7 19
8 27
9 18
10 7
Total 88

a). Set up the necessary hypotheses to test whether the data come from a binomial distribution with n = 10 and p = 0.80.
b). Find the expected frequency distribution for the data.

c). A the 0.05 level of significance, is it reasonable to assume that the number of loan applications that are approved in 24 hours has a binomial distribution with p= 0.80.

Purchase this Solution

Solution Summary

We use chi square goodness of fit test to test whether the data come from a binomial distribution.

Purchase this Solution

Free BrainMass Quizzes
Measures of Central Tendency

This quiz evaluates the students understanding of the measures of central tendency seen in statistics. This quiz is specifically designed to incorporate the measures of central tendency as they relate to psychological research.

Terms and Definitions for Statistics

This quiz covers basic terms and definitions of statistics.

Know Your Statistical Concepts

Each question is a choice-summary multiple choice question that presents you with a statistical concept and then 4 numbered statements. You must decide which (if any) of the numbered statements is/are true as they relate to the statistical concept.

Measures of Central Tendency

Tests knowledge of the three main measures of central tendency, including some simple calculation questions.