Question

A wholesaler has recently developed a computerized sales invoicing system. Prior to implementing this system, a manual system was used. The distribution of the number of errors per invoice for the manual system is as follows: Errors per Invoice Percentage of Invoices 83% 8% 6% 2% 1% After implementation of the computerized system, a random sample of 500 invoices gives the following error distribution: Errors per Invoice 467 12 3 Number of Invoices More Than 3 P ?? Ei 0.83 0.08 0.06 0.02 0.01 Eifi 415 40 30 (-E)^2/E (f-E) 2/E 6.5157 19 6000 12.0333 1.6000 2000 39.94900 10 Chi-Square p-value 0.000000 1096 (a) Show that it is appropriate to carry out a chi-square test using these data. Each Ei Each E2 (b) Use the Excel output shown above to determine whether the error percentages for the computerized system differ from those for the manual system at the 05 level of significance. What do you conclude? (Click to select) Ho: Conclude systems (Click to select)

Answer 1