In the book Business Research Methods (5th ed.), Donald R. Cooper and C. William Emory discuss a market researcher for an autonaker who is studying consumer preferences for styling features of larger sedans. Buyers, who were classified as "first-time" buyers or "repeat" buyers, were asked to express their preference for one of two types of styling-European styling or Japanese styling. Of 40 first-time buyers, 10 preferred European styling and 30 preferred Japanese styling. Of 60 repeat buyers, 41 preferred European styling and 19 preferred Japanese styling.

Calculus For The Life Sciences
2nd Edition
ISBN:9780321964038
Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Chapter12: Probability
Section12.3: Conditional Probability; Independent Events; Bayes' Theorem
Problem 80E
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In the book Business Research Methods (5th ed.), Donald R. Cooper and C. William Emory discuss a market researcher for an
automaker who is studying consumer preferences for styling features of larger sedans. Buyers, who were classified as "first-time"
buyers or "repeat" buyers, were asked to express their preference for one of two types of styling-European styling or Japanese
styling. Of 40 first-time buyers, 10 preferred European styling and 30 preferred Japanese styling. Of 60 repeat buyers, 41 preferred
European styling and 19 preferred Japanese styling.
(a) Set up a contingency table for these data,
Style
Buyers
European
Japanese
Total
First-time
Repeat
Total
(b) Test the hypothesis that buyer status (repeat versus first-time) and styling preference are independent at the 05 level of
significance. What do you conclude? (Round your answer to 3 decimal places.)
HO. Independence.
Transcribed Image Text:In the book Business Research Methods (5th ed.), Donald R. Cooper and C. William Emory discuss a market researcher for an automaker who is studying consumer preferences for styling features of larger sedans. Buyers, who were classified as "first-time" buyers or "repeat" buyers, were asked to express their preference for one of two types of styling-European styling or Japanese styling. Of 40 first-time buyers, 10 preferred European styling and 30 preferred Japanese styling. Of 60 repeat buyers, 41 preferred European styling and 19 preferred Japanese styling. (a) Set up a contingency table for these data, Style Buyers European Japanese Total First-time Repeat Total (b) Test the hypothesis that buyer status (repeat versus first-time) and styling preference are independent at the 05 level of significance. What do you conclude? (Round your answer to 3 decimal places.) HO. Independence.
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