A Random Sample of 160 Car Accidents Are Selected and Categorized

question 42

Multiple Choice

A random sample of 160 car accidents are selected and categorized by the age of the driver determined to be at fault. The results are listed below. The age distribution of drivers for the given categories is $18 \%$ for the under 26 group, $39 \%$ for the $26 - 45$ group, $31 \%$ for the $45 - 65$ group, and $12 \%$ for the group over 65 . Find the rejection region used to test the claim that all ages have crash rates proportional to their number of drivers. Use $\alpha = 0.05$ .
$\begin{array}{l|cccc}\text { Age } & \text { Under 26 } & 26-45 & 46-65 & \text { Over } 65 \\\hline \text { Drivers } & 66 & 39 & 25 & 30\end{array}$

• A) \(\chi ^ { 2 } > 6.251\)
• B) \(\chi ^ { 2 } > 7.815\)
• C) \(\chi ^ { 2 } > 11.143\)
• D) \(\chi ^ { 2 } > 9.348\)

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Definitions:

Fixed Manufacturing Overhead

Costs in manufacturing that do not vary with the level of production, including factory rent, salaries of permanent staff, and equipment depreciation.

Machine-Hours

A measure of the amount of time machines are operated in the manufacturing process, used as a basis for allocating costs.

Predetermined Overhead Rate

A rate calculated before a period begins, used to allocate manufacturing overhead costs to products based on a selected activity base such as labor hours or machine hours.

Direct Labor-Hours

The total hours of labor directly involved in manufacturing a product, used in calculating labor costs and efficiency in production.