State the decision rule. Use 0.05 significance level. (Round your answer to 3 decimal places.) b. How many degrees of freedom are there? c. Compute the value of chi-square.
The publisher of a sports magazine plans to offer new subscribers one of three gifts: a sweatshirt with the logo of their favorite team, a coffee cup with the logo of their favorite team, or a pair of earrings also with the logo of their favorite team. In a sample of 500 new subscribers, the number selecting each gift is reported below. At the 0.05 significance level, is there a preference for the gifts or should we conclude that the gifts are equally well liked?
| Gift | Frequency |
| Sweatshirt | 183 |
| Coffee cup | 175 |
| Earrings | 142 |
H0: πs = πc = πe
H1: The proportions are not equal.
a. State the decision rule. Use 0.05 significance level. (Round your answer to 3 decimal places.)
b. How many degrees of freedom are there?
c. Compute the value of chi-square. (Negative amounts should be indicated by a minus sign. Round "fe" and "fo – fe" to 2 decimal places. Round (fo – fe)2/fe to 4 decimal places. Round χ2 to 4 decimal places.)
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