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Problem 5: 10 points = [5 + 5] Read Section 11.1 from textbook A study of independence between two categorical variables was based on a 5 x 4 contingency table. Researchers use x2-distribution with d = (5 -1) x (4 -1) = 12 degrees of freedom. The x2-statistic for independence was found as x2 = 25.4. 1. At significance level a = 0.01, does this value indicate that the independence hypothesis should be rejected? Show critical value and state rejection rule 2. What would your decision be at the significance level a = 0.05? Show critical value and state rejection rule Solution This is x2-test for independence - homogeneity. The null hypothesis (which in this case is independence) will be rejected in favor of the alternative if x2 > RCV = x2 [d; a]. Otherwise, it will not