Which of the following statements pertaining to the index of predictive association is
FALSE?
a. The index of predictive association is useful when nominally scaled data are available
and when we are interested in the degree of improvement in predictions of the criterion
variable brought about by considering the classes of the predictor variable.
b. The index of predictive association is equal to one, if the B classification is of no
help in predicting the A classification.
c. The index of predictive association gA.B.measures the relative decrease in the
probability of error by taking account of the B classification in predicting the A
classification over the error of prediction with the B classification unknown.
d. a and b above
e. a and c above
In a test of consumers preference of two popular air freshners, the following hypotheses
were stated:
H0: Proportion Preferring Brand A = 0.50
Ha: Proportion Preferring Brand A ≠0.50
Of 200 people tested, 49% preferred Brand A. At α=0.05, which of the following is
correct?
a. The null hypothesis is accepted.
b. The null hypothesis is rejected.
c. Based on the evidence available, no support for the alternative hypothesis is found.
d. Based on the evidence available, the alternative hypothesis is supported.
e. More information is required to test these hypotheses.