In the following table, individuals are cross-classified by their age group and income level. Using the critical value approach, the decision and conclusion are ________.
A) do not reject the null hypothesis; age and income are dependent
B) do not reject the null hypothesis; age and income are independent
C) reject the null hypothesis; age and income are dependent
D) reject the null hypothesis; age and income are independent

Question

In the following table, individuals are cross-classified by their age group and income level.  Using the critical value approach, the decision and conclusion are ________.
A) do not reject the null hypothesis; age and income are dependent 
B) do not reject the null hypothesis; age and income are independent 
C) reject the null hypothesis; age and income are dependent 
D) reject the null hypothesis; age and income are independent

Quizplus · Accepted Answer

The critical value approach involves comparing the calculated Chi-square value to the critical value from the Chi-square distribution. If the calculated value is greater than the critical value, then we reject the null hypothesis of independence and conclude that the variables are dependent. In this case, we are not given the actual values for the Chi-square statistic or the critical value, but we are told that using the critical value approach leads to a decision to reject the null hypothesis. Therefore, we can conclude that age and income are dependent. The correct answer is C.

In the Following Table, Individuals Are Cross-Classified by Their Age