The polling organization Ipsos conducted telephone surveys in March of 2004, 2005 and 2006. In each...

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The polling organization Ipsos conducted telephone surveys inMarch of 2004, 2005 and 2006. In each year, 1001 people age 18 orolder were asked about whether they planned to use a credit card topay federal income taxes that year. The data are given in theaccompanying table. Is there evidence that the proportion fallingin the three credit card response categories is not the same forall three years? Test the relevant hypotheses using a .05significance level. (Use 2 decimal places.)

Intent to Pay Taxes with a CreditCard
200420052006
Definitely/Probably Will
Might/Might Not/Probably Not
Definitely Not
42
163
782
45
180
777
42
190
780


?2 =  
P-value interval

p < 0.0010.001 ? p <0.01    0.01 ? p < 0.050.05 ?p < 0.10p ? 0.10

Answer & Explanation Solved by verified expert
4.2 Ratings (550 Votes)
Step 1 Set up hypotheses and determine levelof significanceH0 The three credit card response categories is notthe same for all three years ie they both are independentH1 H0 is false 005Step 2Select the appropriate teststatisticThe formula for the test statistic is The condition for appropriate use of the above test statistic isthat each expected frequency is at least 5 In Step 4 we willcompute the expected frequencies and we will    See Answer
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