Concept explainers
A salesperson makes four calls per day. A sample of 100 days gives the following frequencies of sales volumes.
Number of Sales | Observed Frequency (days) |
0 | 30 |
1 | 32 |
2 | 25 |
3 | 10 |
4 | 3 |
Total | 100 |
Records show sales are made to 30% of all sales calls. Assuming independent sales calls, the number of sales per day should follow a binomial
For this exercise, assume that the population has a binomial probability distribution with n = 4, p = .30, and x = 0,1,2,3, and 4.
- a. Compute the expected frequencies for x = 0, 1, 2, 3, and 4 by using the binomial probability function. Combine categories if necessary to satisfy the requirement that the expected frequency is five or more for all categories.
- b. Use the goodness of fit test to determine whether the assumption of a binomial probability distribution should be rejected. Use α = .05. Because no parameters of the binomial probability distribution were estimated from the sample data, the degrees of freedom are k − 1 when k is the number of categories.
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Chapter 12 Solutions
Statistics for Business & Economics, Revised (MindTap Course List)
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