A market researcher is studying the spending habits of people across age groups. The amount of money spent by each individual is classified by spending category (Dining out, Shopping, or Electronics) and generation (Gen-X, Gen-Y, Gen-Z, or Baby Boomers). The data and an incomplete ANOVA table are shown below. At the 5% significance level, the conclusion for the hypothesis test about the interaction term is ________.
A) do not reject the null hypothesis; there is evidence of an interaction effect between spending category and generation
B) reject the null hypothesis; there is evidence of an interaction effect between spending category and generation
C) reject the null hypothesis; there is no evidence of an interaction effect between spending category and generation
D) do not reject the null hypothesis; there is no evidence of an interaction effect between spending category and generation

Question

A market researcher is studying the spending habits of people across age groups. The amount of money spent by each individual is classified by spending category (Dining out, Shopping, or Electronics) and generation (Gen-X, Gen-Y, Gen-Z, or Baby Boomers). The data and an incomplete ANOVA table are shown below.   At the 5% significance level, the conclusion for the hypothesis test about the interaction term is ________.
A) do not reject the null hypothesis; there is evidence of an interaction effect between spending category and generation 
B) reject the null hypothesis; there is evidence of an interaction effect between spending category and generation 
C) reject the null hypothesis; there is no evidence of an interaction effect between spending category and generation 
D) do not reject the null hypothesis; there is no evidence of an interaction effect between spending category and generation

Quizplus · Accepted Answer

The p-value for the interaction term is less than 0.05, which means that we reject the null hypothesis and conclude that there is evidence of an interaction effect between spending category and generation.

A Market Researcher Is Studying the Spending Habits of People