Chi-square goodness of fit cannot find expected values

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The discussion centers on calculating expected values for a Chi-square goodness of fit test using a 2×2 table summarizing profits and losses of firms by industry type. Participants express uncertainty about how to derive expected values from the provided data, which includes profit and loss figures for service and non-service companies. The formula for the Chi-square statistic is noted, but further clarification on calculating expected values is requested. Suggestions include consulting textbooks or online resources for guidance on the Chi-square test. Understanding how to compute expected values is essential for completing the analysis.
Rifscape
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Homework Statement


An article in Business Week reports profits and losses of firms by industry. A random sample of 100 firms is selected, and for each firm in the sample, we record whether the company made money or lost money, and whether or not the firm is a service company. The data are summarized in the 2×2 table below. Use a 10% level of significance to test whether the two events "the company made profit this year" and "the company is in the service industry" are independent.

Industry Type

Service Nonservice

Profit 35 36

Loss 12 17

I am not sure how to find the expected values, any advice is appreciated

Homework Equations



Chi-squre = ∑(O-E)^2/E

The Attempt at a Solution



I am not sure how to find the expected values, if someone can tell me how to find those, I will be able to solve the problem.

I'm not sure how to find the expected value when given a table bigger than 1 x n, if someone could explain how to do this it would be much appreciated.

Any help would be greatly appreciated, thanks[/B]
 
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The relevant equation that you have not listed is the definition of independent events. Write that down and fill in as much as you can from the data you have.
 
Rifscape said:

Homework Statement


An article in Business Week reports profits and losses of firms by industry. A random sample of 100 firms is selected, and for each firm in the sample, we record whether the company made money or lost money, and whether or not the firm is a service company. The data are summarized in the 2×2 table below. Use a 10% level of significance to test whether the two events "the company made profit this year" and "the company is in the service industry" are independent.

Industry Type

Service Nonservice

Profit 35 36

Loss 12 17

I am not sure how to find the expected values, any advice is appreciated

Homework Equations



Chi-squre = ∑(O-E)^2/E

The Attempt at a Solution



I am not sure how to find the expected values, if someone can tell me how to find those, I will be able to solve the problem.

I'm not sure how to find the expected value when given a table bigger than 1 x n, if someone could explain how to do this it would be much appreciated.

Any help would be greatly appreciated, thanks[/B]
Google is your friend: try "chi-square test", for example. Alternatively: look in your textbook.
 
Question: A clock's minute hand has length 4 and its hour hand has length 3. What is the distance between the tips at the moment when it is increasing most rapidly?(Putnam Exam Question) Answer: Making assumption that both the hands moves at constant angular velocities, the answer is ## \sqrt{7} .## But don't you think this assumption is somewhat doubtful and wrong?

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