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Chi-square test for variance-Salary

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Testing Claims
(a) write the claim mathematically and identify
Ho and Ha, (b) find the critical value(s) and identify the rejection region(s),
(c) use the x square- test to find the standardized test statistic, (d) decide whether to reject
or fail to reject the null hypothesis, and (e) interpret the decision in the context of the original claim. For each claim, assume the population is normally distributed..

24. Salaries An employment information service says that the standard
deviation of the annual salaries for public relations managers is at least
$14,500. The annual salaries for 18 randomly chosen public relations
managers are listed. At a = 0.10 can you reject the claim? (Adapted from
America's Career InfoNet)
47,517 60,217 39,177 61,744 79,422 70,770
60,549 60,263 72,939 72,372 75,014 59,164
44,811 65,413 61,310 90,433 44,185 41,805

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Solution Summary

The solution provides step by step method for the calculation of Chi-square test statistic for testing population variance. Formula for the calculation and Interpretations of the results are also included. Interactive excel sheet is included. The user can edit the inputs and obtain the complete results for a new set of data.

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