Test of chi-square
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The chief of security for the Mall of the Dakotas was directed to study the problem of missing
goods. He selected a sample of 100 boxes that had been tampered with and ascertained
that for 60 of the boxes, the missing pants, shoes, and so on were attributed to
shoplifting. For 30 other boxes employees had stolen the goods, and for the remaining 10
boxes he blamed poor inventory control. In his report to the mall management, can he say
that shoplifting is twice as likely to be the cause of the loss as compared with either employee
theft or poor inventory control and that employee theft and poor inventory control
are equally likely? Use the .02 significance level.
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