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Consider a car seller who sells four brands (A, B, C, and D) of cars. He says that he does not give any priority to any brand of cars and considers all brands equally important. In a given day, the number of cars available with brands A, B, C, and D is 50, 40, 45, and 60, respectively. Using significance α=0.05, test to find out if there is sufficient evidence to conclude that the car seller is right with his claim.

Consider a car seller who sells four brands (A, B, C, and D) of cars. He says that he does not give any priority to any brand of cars and considers all brands equally important. In a given day, the number of cars available with brands A, B, C, and D is 50, 40, 45, and 60, respectively. Using significance α=0.05, test to find out if there is sufficient evidence to conclude that the car seller is right with his claim.

Algebra & Trigonometry with Analytic Geometry
Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter10: Sequences, Series, And Probability
Section10.8: Probability
Problem 32E
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Consider a car seller who sells four brands (A, B, C, and D) of cars. He says that he does not give any priority to any brand of cars and considers all brands equally important. In a given day, the number of cars available with brands A, B, C, and D is 50, 40, 45, and 60, respectively. Using significance α=0.05, test to find out if there is sufficient evidence to conclude that the car seller is right with his claim.

Expert Solution
Step 1

The claim of the test is that all the brands of cars are  equally important (equally likely). The hypotheses are,

Null hypothesis:

H0 : All the brands are equally likely

Alternative hypothesis:

Ha : All the brands are not equally likely

The expected values are,

Brand Observed values Expected values
A 50 1954=48.75
B 40 1954=48.75
C 45 1954=48.75
D 60 1954=48.75
Total 195  
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