[Solved] Stock analysts designed a study aimed at collecting data about four groups of stocks (high tech, health care, mass media, and real estate). The


Question: Stock analysts designed a study aimed at collecting data about four groups of stocks (high tech, health care, mass media, and real estate). The stock behavior is characterized by one of the statements: "tends to increase", "tends to decrease" or "stays nearly the same". The row sums and column sums are preset. These sums are resented as row totals and column totals in the table.

Suppose that the test statistic value was found as 14.86.

  1. For this contingency table, with row sums and column sums presented, determine the expected counts (fill in the table above).
  2. How many degrees of freedom are you going to use when testing independence between two categorical variables (stock type) and (stock behavior)? Degrees of freedom =
  3. At the significance level of \(5 \%\), do you have evidence that the stock behavior varies among selected groups? (yes / no)
    Critical value =
    Rejection rule states:
  4. At the significance level of \(1 \%\), do you have evidence that the stock behavior varies among selected groups? (yes / no)

Critical value =

Rejection rule states:

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