Use the Following Set of Observed Frequencies to Test the Independence

question 31

Multiple Choice

Use the following set of observed frequencies to test the independence of the two variables. Variable one has values of 'A' and 'B'; variable two has values of 'C', 'D', and 'E'. Using $\alpha$ = 0.05, the critical chi-square value is ___.

• A) 9.488
• B) 1.386
• C) 8.991
• D) 3.357
• E) 5.991

---

Definitions:

Interest Expense

The cost incurred by an entity for borrowed funds, reflecting the interest payments on debt over a particular period.

Par Value

A nominal or face value assigned to a share of stock by the corporation's charter, different from the market value.

Journal Entry

A record in the accounting journal that represents a business transaction, including information on debits and credits to various accounts.

Sale of Bonds

The process by which a corporation or government issues bonds to investors in order to raise capital.