Health insurance benefits vary by the size of the company (the Henry J. Kaiser Family Foundation website, June 23, 2016). The sample data below show the number of companies providing health insurance for small, medium, and large companies. For the purposes of this study, small companies are companies that have fewer than 100 employees. Medium-sized companies have 100 to 999 employees, and large companies have 1000 or more employees. The questionnaire sent to 225 employees asked whether or not the employee had health insurance and then asked the enployee to indicate the size of the company. health insurance size of company yes no total small 34 16 50 medium 65 10 75 large 90 10 100 a. Conduct a test of independence to determine whether health insurance coverage is independent of the size of the company. What is the p-value? Compute the value of the x^(2) test statistic (to 2 decimals).
Health insurance benefits vary by the size of the company (the Henry J. Kaiser Family Foundation website, June 23, 2016). The sample data below show the number of companies providing health insurance for small, medium, and large companies. For the purposes of this study, small companies are companies that have fewer than 100 employees. Medium-sized companies have 100 to 999 employees, and large companies have 1000 or more employees. The questionnaire sent to 225 employees asked whether or not the employee had health insurance and then asked the enployee to indicate the size of the company.
| health insurance | |||
| size of company | yes | no | total |
| small | 34 | 16 | 50 |
| medium | 65 | 10 | 75 |
| large | 90 | 10 | 100 |
a. Conduct a test of independence to determine whether health insurance coverage is independent of the size of the company. What is the p-value?
Compute the value of the x^(2) test statistic (to 2 decimals).
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