An analyst is trying to determine whether the prices of certain stocks on the NASDAQ are independent of the industry to which they belong. She examines four industries and, within each industry, categorizes each stock according to its price (high-priced, average- priced, low-priced). Stock Price High Average Low 1222 I Industry II III IV 20 12 14 18 20 14 16 11 12 8 13 a. Choose the competing hypotheses to determine whether stock price depends on the industry. Ho: Stock price is independent of the industry.; HA: Stock price is dependent of the industry. Ho: Stock price is dependent on the industry.; HA: Stock price is independent of the industry. b-1. Calculate the value of the test statistic. Note: Round intermediate calculations to at least 4 decimal places and final answer to 3 decimal places. Test statistic b-2. Find the p-value. 0.05 s p-value < 0.10 0.025 < p-value < 0.05 0.01 p-value < 0.025 Op-value <0.01

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An analyst is trying to determine whether the prices of certain stocks on the NASDAQ are independent of the industry to which they
belong. She examines four industries and, within each industry, categorizes each stock according to its price (high-priced, average-
priced, low-priced).
Stock Price
High
Average
Low
1222
I
Industry
II
III
IV
20
12
14
18
20
14
16
11
12
8
13
a. Choose the competing hypotheses to determine whether stock price depends on the industry.
Ho: Stock price is independent of the industry.; HA: Stock price is dependent of the industry.
Ho: Stock price is dependent on the industry.; HA: Stock price is independent of the industry.
b-1. Calculate the value of the test statistic.
Note: Round intermediate calculations to at least 4 decimal places and final answer to 3 decimal places.
Test statistic
b-2. Find the p-value.
0.05 s p-value < 0.10
0.025 < p-value < 0.05
0.01 p-value < 0.025
Op-value <0.01
Transcribed Image Text:An analyst is trying to determine whether the prices of certain stocks on the NASDAQ are independent of the industry to which they belong. She examines four industries and, within each industry, categorizes each stock according to its price (high-priced, average- priced, low-priced). Stock Price High Average Low 1222 I Industry II III IV 20 12 14 18 20 14 16 11 12 8 13 a. Choose the competing hypotheses to determine whether stock price depends on the industry. Ho: Stock price is independent of the industry.; HA: Stock price is dependent of the industry. Ho: Stock price is dependent on the industry.; HA: Stock price is independent of the industry. b-1. Calculate the value of the test statistic. Note: Round intermediate calculations to at least 4 decimal places and final answer to 3 decimal places. Test statistic b-2. Find the p-value. 0.05 s p-value < 0.10 0.025 < p-value < 0.05 0.01 p-value < 0.025 Op-value <0.01
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