A company wants to determine if its employees have any preference among 5 different health plans which it offers to them. A sample of 200 employees provided the data below. Calculate the chi-square test statistic to test the claim that the probabilities show no preference. Use alpha = 0.01. Plan 1 2 3 4 5
Employees 30 55 18 32 65
a. 37.45
b. 55.63
c. 45.91
d. 48.91

37.45

Explanation:

Given the data:

Plan 1 2 3 4 5

Employees (X) : 30 55 18 32 65

α = 0.01

Sample size (n) = 200

Preference among 5 different health plans

Expected value of data (E) :

Sum of employees / number of plans

= (30 + 55 + 18 + 32 + 65) / 5 = 40

Σ((X - E)^2 / E)

(((30 - 40)^2) / 40) + (((55 - 40)^2) / 40) + (((18 - 40)^2) / 40) + (((32 - 40)^2) / 40) + (((65 - 40)^2) / 40) = 37.45

Hence, the Chi square Test statistic = 37.45

a recipe serves 8 people, and calls for 5 lbs of apples and 2 cups of flour. you want to prepare it for 24 people. divide 24 by 8 to get 3, and then multiply your ingredients by 3.

so for 24 people, you'll need 15 lbs of apples, and 6 cups of flour.

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.