A major credit card company is investigating whether the distribution of the number of credit cards used by its customers has changed from last year to this year. Customers are classified as using 1 card, 2 cards, or more than 2 cards. The company conducts a chi-square goodness-of-fit test to investigate whether there is a change in the distribution of number of cards used from last year to this year. The value of the chi-square test statistic was χ2=7.82 with a corresponding p-value of 0.02. Assuming the conditions for inference were met, which of the following is the correct interpretation of this p-value? There is a 2 percent chance that the company’s claim is correct. A There is a 2 percent chance of obtaining a chi-square value of at least 7.82. B If the null hypothesis were true, there is a 2 percent chance of obtaining a chi-square value of at least 7.82. C If the null hypothesis were true, there is a 2 percent chance that the company’s claim is correct. D If the null hypothesis were true, there is a 2 percent chance of obtaining a chi-square value of 7.82.
A major credit card company is investigating whether the distribution of the number of credit cards used by its customers has changed from last year to this year. Customers are classified as using 1 card, 2 cards, or more than 2 cards. The company conducts a chi-square goodness-of-fit test to investigate whether there is a change in the distribution of number of cards used from last year to this year. The value of the chi-square test statistic was χ2=7.82 with a corresponding p-value of 0.02. Assuming the conditions for inference were met, which of the following is the correct interpretation of this p-value?
-
There is a 2 percent chance that the company’s claim is correct.
A -
There is a 2 percent chance of obtaining a chi-square value of at least 7.82.
B -
If the null hypothesis were true, there is a 2 percent chance of obtaining a chi-square value of at least 7.82.
C -
If the null hypothesis were true, there is a 2 percent chance that the company’s claim is correct.
D -
If the null hypothesis were true, there is a 2 percent chance of obtaining a chi-square value of 7.82.
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