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Guide to Using Excel For Basic Statistical Applications
Guide to Using Excel For Basic Statistical Applications
To AccompanyTo Accompany
Business Statistics: A Decision Making Approach, 6th Ed.
Chapter 12:Chapter 12:
Goodness of Fit Tests and Contingency Goodness of Fit Tests and Contingency AnalysisAnalysis
ByBy
Groebner, Shannon, Fry, & SmithGroebner, Shannon, Fry, & SmithPrentice-Hall Publishing CompanyPrentice-Hall Publishing Company
Copyright, 2005Copyright, 2005
Chapter 12 Excel Examples
Goodness of Fit Test
Woodtrim ProductsContingency Analysis
Benton Industries
Goodness of Fit - Woodtrim ProductsGoodness of Fit - Woodtrim Products
Issue: Issue:
The company has recently become concerned The company has recently become concerned that the ripsaw may not be cutting to the that the ripsaw may not be cutting to the manufacture’s specifications manufacture’s specifications
Objective: Objective:
Use Excel to determine whether the data set’s Use Excel to determine whether the data set’s mean and standard deviation meet the manufacturer’s mean and standard deviation meet the manufacturer’s specifications. Data file is specifications. Data file is WoodtrimWoodtrim.xls.xls
Use the COUNTIF function to find the number of data values less than -.02.
Goodness of Fit – Woodtrim Products
Again use the COUNTIF only this time subtract the observations in the previous cell to find the number of data values in the current cell.
Goodness of Fit – Woodtrim Products
Continue to use COUNTIF while subtracting the observations in the previous cell to find the number of data values in the current cell.
Goodness of Fit – Woodtrim Products
Notice change in the COUNTIF function for the final cell. Also, sum the observations.
Goodness of Fit – Woodtrim Products
Use the NORMDIST function to find the expected probability of values less than -.02 given the expected mean and standard deviation.
Goodness of Fit – Woodtrim Products
Continue to use the NORMDIST function to generate probabilities, but to get discrete values, subtract out the sum of the preceding cells.
Goodness of Fit – Woodtrim Products
To find the Expected Frequencies multiply the Normal Distribution values by 300.
Goodness of Fit – Woodtrim Products
Compute the Chi square value in column N using the formula for each combination of cells.
Goodness of Fit – Woodtrim Products
To find the p-value click on the Function button, then select Statistics and CHITEST.
Goodness of Fit – Woodtrim Products
Contingency Analysis - Benton IndustriesContingency Analysis - Benton Industries
Issue: Issue:
The company was interested in determining The company was interested in determining the relationship between absenteeism and marital the relationship between absenteeism and marital status. status.
Objective: Objective:
Use Excel to determine whether there is a Use Excel to determine whether there is a statistically significant relationship between statistically significant relationship between absenteeism and marital status. Data file is absenteeism and marital status. Data file is Benton.xlsBenton.xls
Use this Formula to find the expected number of single people with zero absences.
Contingency Analysis – Benton Industries
Using similar formulas determine the expected values for all the combinations of absentee rate and marital status Shown in green.
Contingency Analysis – Benton Industries
To find the Chi Square critical value, click on the function button, then select Statistical and CHIINV.
Contingency Analysis – Benton Industries