Perform a Runs Test for Randomness $$\alpha$$ = 005 $$\begin{array} { l l l l l l l } B & B & B & R & B & R & B \\R & R & B & B & B & R & R\end{array}$$

question 34

Essay

Perform a runs test for randomness. Be sure to do the following: Identify the claim mathematically and state the null
and alternative hypotheses. Determine the critical value and find the test statistic. Decide whether to reject or fail to
reject the null hypothesis and interpret the decision in the context of the original claim.
-Two poker players are dealt cards in the sequence shown, where B represents a black card and R represents a
red card. Can you conclude that the dealing of cards was not random? Use $$\alpha$$ = 0.05. $$\begin{array} { l l l l l l l } B & B & B & R & B & R & B \\R & R & B & B & B & R & R\end{array}$$

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Definitions:

Negligence

The failure to exercise a level of care that a reasonably prudent person would in similar circumstances, potentially causing harm or damage.

Sarbanes-Oxley Act

A U.S. federal law enacted in 2002 to protect investors by improving the accuracy and reliability of corporate disclosures in financial statements and other corporate events.

Public Company Accounting Oversight Board

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Periodic Inspections

Regular, scheduled examinations or checks to ensure compliance with standards, regulations, or operational efficiency.