Goodness of Fit A marketer is planning to introduce a new product to the market

Goodness of fit a marketer is planning to introduce a

This preview shows page 5 - 10 out of 12 pages.

Goodness of Fit A marketer is planning to introduce a new product to the market but she is not sure about the color of the package the product should be sold in. To know if consumers have a preference in terms of color of packaging she conducts a pilot experiment using an alpha level of .05. The number of products sold for each color is provided in the chart below:ColorBlueGreenRedYellow# Sold30203515
Image of page 5
Goodness of Fit H 0 : the population proportions are equal H a : the population proportions are not equal Color Blue Green Red Yellow # Expected # Sold 25 30 25 20 25 35 25 15
Image of page 6
2
Image of page 7
Test of Independence We want to know if the column variable is independent of the row variable. H 0 : the column variable is independent of the row variable H a : the column variable is not independent of the row variable How does it work? Select a random sample and record the observed frequencies for each cell Compute the expected frequency for each cell Compute the test statistic using the difference between the expected frequency and observed frequency in each category
Image of page 8
Test of Independence 𝑒 ??
Image of page 9
Image of page 10

You've reached the end of your free preview.

Want to read all 12 pages?

  • Fall '17
  • AMHET KOKSUEL

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture