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Suppose a candy company representative claims that colored candies are mixed such that each large production batch has precis

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A B D E (0,-E) / 0.003 0.080 0.223 1 Color 2 Brown 3 Yellow 4. Red 5 Orange 6 Green 7 Blue 8 Total No. of candies Observed Po

Color No. of candies Observed Porportion (O) Expected Proportion (E) (Oi - Ei)2 / Ei
Brown 103 0.22 0.2 0.003
Yellow 34 0.07 0.2 0.080
Red 115 0.25 0.1 0.223
Orange 83 0.18 0.1 0.064
Green 57 0.12 0.2 0.029
Blue 69 0.15 0.2 0.013
Total 461 Test statistic 0.412
Color No. of candies Observed Porportion (O) Expected Proportion (E) (Oi - Ei)2 / Ei
Brown 103 =B2/461 0.2 =(C2-D2)^2/D2
Yellow 34 =B3/461 0.2 =(C3-D3)^2/D3
Red 115 =B4/461 0.1 =(C4-D4)^2/D4
Orange 83 =B5/461 0.1 =(C5-D5)^2/D5
Green 57 =B6/461 0.2 =(C6-D6)^2/D6
Blue 69 =B7/461 0.2 =(C7-D7)^2/D7
Total =SUM(B2:B7) Test statistic =SUM(E2:E7)

1. H0: Observed proportion are same as expected proportions

H1: At least one of the observed proportion is different from expected proportion

2. Null hypothesis indicates that proportion of candies are not the same for each colour.

3. H0: p1 = 0.2, p2 = 0.2, p3 = 0.1, p4 = 0.1, p5 = 0.2, p6 = 0.2

H1: Either one of p1 ≠ 0.2 or p2 ≠ 0.2 or p3 ≠ 0.1 or p4 ≠ 0.1 or p5 ≠ 0.2 or p6 ≠ 0.2

4. Expected values for brown candies = 0.2*461 = 92.20

5. Expected values for orange candies = 0.1*461 = 46.10

6. Test statistic: χ2 = 0.412

7. Degrees of freedom: df = k-1 = 6-1 = 5

8. Level of significance = 0.01

Critical value (Using Excel CHISQ.INV.RT(probability,df)) = CHISQ.INV.RT(0.01,5) = 15.086

9. Since test statistic (0.412) is less than critical value (15.086), we do not reject the null hypothesis.

10. Observed proportion are same as expected proportions. So, p1 = 0.2, p2 = 0.2, p3 = 0.1, p4 = 0.1, p5 = 0.2, p6 = 0.2.

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