Statistics Testing - Relationship between the plan at retirement by ClassOf1

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									              Sub: Statistics                                                                                  Topic: Testing



              Question:
              Test whether the relationship between the plan at retirement and residential
              area using Chi square test.
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               In a survey of 1500 residents of a particular county, each person was asked if he or she plans to
              relocate when reaching retirement age, and it was also recorded whether the person currently
              lives in a rural, suburban, or urban area of the county. The results of the survey are presented
              in the contingency table below.



                                                  Observed Frequencies

                                                                     Plan at Retirement

                                                           Planning to             Not planning         Totals
                                                           relocate                to relocate

              Residential            Rural                 127                     202                        329
              Area
                                     Suburban              384                     117                        501

                                     Urban                 358                     312                        670

                                     Totals                869                     631                      1500

              We are interested in determining whether there is a relationship between the plan at
              retirement and the residential area.

               Compute the expected frequencies. (Fill in the blanks in the table. One value is already
              supplied.)



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