Chi-Square Good of Fit Problem: Automobile insurance is much more expensive for teenage drivers than for older drivers. To justify this cost difference, insurance companies claim that the younger drivers are much more likely to be involved in costly accidents.  To test this claim, a researcher obtained information about registered drivers from the Department of Motor Vehicles (DMV) and selected a sample of n = 300 accidents reports from the police department.  The DMV reports the percentage of registered drivers in each age category as follows: 16% are younger than age 20,; 28%are 20 to 29 years old;and 56% are age 30 and older.  The number of accidents reports for each age group is as follows: Under age 20                  Age 20-29                      Age 30 and older 68                                               92                                             140 Is there a difference between the three age groups?  Test with alpha = .05 Remember use the table on 582 for critical region values.

Linear Algebra: A Modern Introduction
4th Edition
ISBN:9781285463247
Author:David Poole
Publisher:David Poole
Chapter7: Distance And Approximation
Section7.3: Least Squares Approximation
Problem 31EQ
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Chi-Square Good of Fit Problem:

Automobile insurance is much more expensive for teenage drivers than for older drivers. To justify this cost difference, insurance companies claim that the younger drivers are much more likely to be involved in costly accidents.  To test this claim, a researcher obtained information about registered drivers from the Department of Motor Vehicles (DMV) and selected a sample of n = 300 accidents reports from the police department.  The DMV reports the percentage of registered drivers in each age category as follows: 16% are younger than age 20,; 28%are 20 to 29 years old;and 56% are age 30 and older.  The number of accidents reports for each age group is as follows:

Under age 20                  Age 20-29                      Age 30 and older

68                                               92                                             140

Is there a difference between the three age groups?  Test with alpha = .05 Remember use the table on 582 for critical region values.

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