Applied Statistics in Business and Economics
Applied Statistics in Business and Economics
5th Edition
ISBN: 9781259329050
Author: DOANE
Publisher: MCG
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Chapter 16, Problem 1CR

a.

To determine

Give three advantages of nonparametric tests.

a.

Expert Solution
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Explanation of Solution

Advantages of nonparametric tests:

  • It is used when the sample size is small.
  • It is used for ordinal data.
  • Nonparametric tests do not assume normality.

b.

To determine

Give two drawbacks in the data that might force to use a nonparametric test.

b.

Expert Solution
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Explanation of Solution

Two drawbacks in the data that might force to use a nonparametric test:

  • Small sample size.
  • When the sample does not follow normality.

c.

To determine

State the reason why significance in a nonparametric test is convincing.

c.

Expert Solution
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Explanation of Solution

Significance in a nonparametric test is convincing because it makes fewer assumptions about the population, when the sample does not follow normality.

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