Chapter PVII, Problem 7RE

To determine

To conduct: a suitable hypothesis about this table and give the conclusion.

Explanation of Solution

Given:

   Formula used:

  ${\chi }^2={\displaystyle \sum \frac{{\left(\text{observed}-\text{expected}\right)}^2}{\text{expected}}}$

Calculation:

Null Hypothesis

  $H_0:$ The two factors are distinct from each other

Alternate hypothesis

  $H_1:$ The two variables are mutually related.

  

  ${\chi }^2={\displaystyle \sum \frac{{\left(\text{observed}-\text{expected}\right)}^2}{\text{expected}}}$ =17.19

Therefore, as the p-value less than 0.05, it could reject the null hypothesis and can conclude that income and party enrolment are based at the 0.05 significance stage.