QUESTION 1 QUESTION 2 A market research group is interested in estimating the market share of three airline companies, A

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QUESTION 1
QUESTION 2
A market research group is interested in estimating the market
share of three airline companies, A, B and C, operating on a
particular flight path. These three airlines are the only companies
operating on this route. Airline B claim that they have 50% of the
business with the remaining percentage shared equally amongst
airlines A and C, i.e. 25% each.
The market research group decide to carry out an independent study
and question a random sample of 58 people visiting an airport on a
particular day. Each person was given price, timetables and service
details of flights on this route for each of the three airlines.
Provided with this information they were asked to select their
airline of choice.The survey revealed the following observed
frequencies:
Test if there is any evidence to suggest that the airline's claim
is incorrect, at significance level α = 0.05.
Complete the test by answering the following questions
:
Which of the following is the correct choice of hypotheses
for the test:
a)
H 0: p 1 =
0.25 p 2 =
0.5 p 3 =
0.25 versus
H a: p 1 ≠
0.25 p 2 ≠
0.5 p 3 ≠
0.25
b)
H 0: p 1 = p 2 = p 3 =
0.33 versus
H a: p 1 ≠ p 2 ≠ p 3 ≠
0.33
c)
H 0: p 1 =
0.25 p 2 =
0.5 p 3 =
0.25 versus H a: at least
one p i not as
specified in the null hypothesis.
d)
H 0: p 1 = p 2 = p 3 =
0.33 versus H a: at least
one p i ≠ 0.33
Insert your answer (a, b, c or d).

Assuming the null hypothesis is true, the frequencies you
would expect to see in the sample are :
a) E 1 = 19.33, E 2 =
19.33, E 3 = 19.33
b) E 1 = 18, E 2 = 24,
E 3 = 16
c) E 1 = 14.5, E 2 = 29,
E 3 = 14.5
Insert your answer (a, b or c).

Fill in the following blanks;
The test statistic has value TS= .
The distribution is (examples: normal / t12 /
chisquare4 / F5,6).
Testing at significance level α = 0.05, the rejection region
is:
(less/greater) than (2 dec
places).
Since the test statistic (is in/is not
in) the rejection region, there (is
evidence/is no evidence) to reject the null hypothesis,
H 0

Which of the following is the correct conclusion for this
test:
a) There is evidence to reject Airline B's claimed values of market
share proportions.
b) There is no evidence to reject Airline B's claimed values of
market share proportions.
Insert your answer (a or b).

When checking the validity of any assumptions required for
the inference made here to be valid, which of the following is the
correct statement:
a) The sample size is large enough since the total size is greater
than 30.
b) The sample size is large enough since the smallest expected
value is larger than 5.
c) The sample size is large enough since the smallest observed
value is larger than 5.
Insert your answer (a, b or c).