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Chi square test

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7. A group of department store buyers viewed a new line of dresses and gave their opinions
of them. The results were:
Opinion Number of Buyers Opinion Number of Buyers
Outstanding 47 Good 39
Excellent 45 Fair 35
Very good 40 Undesirable 34
Because the largest number (47) indicated the new line is outstanding, the head designer thinks that this is a mandate to go into mass production of the dresses. The head sweeper (who somehow became involved in this) believes that there is not a clear mandate and claims that the opinions are evenly distributed among the six categories. He further states that the slight differences among the various counts are probably due to chance. Test the null hypothesis that there is no significant difference among the opinions of the buyers. Test at the .01 level of risk. Follow a formal approach; that is, state the null hypothesis, the alternate hypothesis, and so on.

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Solution Summary

The solution provides step by step method for the calculation of chi square test . Formula for the calculation and Interpretations of the results are also included.

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