Math Problem Statement

e have collected some data about how New customers and Old Customers rated our latest product: Good or Bad.

We've somehow managed to lose part of the data, but we do remember that the two variables were independent in the following sample:

Good	Bad

New 100 200 Old 175

What value must have been in the empty cell in order for statistical independence to hold?

Solution

To solve this problem, we need to ensure that the data satisfies the condition of statistical independence. This means that the probability of a customer rating the product as "Good" or "Bad" is independent of whether they are a new or old customer.

For two variables to be independent, the probability of a customer being from one group and giving a particular rating is the product of the individual probabilities. In other words, the expected count for each combination of categories (New/Old and Good/Bad) can be found using:

Expected count=(row total)×(column total)(grand total)\text{Expected count} = \frac{\text{(row total)} \times \text{(column total)}}{\text{(grand total)}}

Step-by-step process:

  1. Calculate the row and column totals:

    • New customers (Good + Bad): 100+200=300100 + 200 = 300
    • Old customers (Good + Bad): 175+x175 + x (where xx is the missing number, which we need to find)
    • Good ratings (New + Old): 100+175=275100 + 175 = 275
    • Bad ratings (New + Old): 200+x200 + x

    The grand total (sum of all the cells) is:

    300+(175+x)=475+x300 + (175 + x) = 475 + x

  2. Set up the equation for statistical independence:

    For statistical independence, the expected frequency of old customers rating the product as "Bad" should equal the observed frequency of old customers giving a "Bad" rating. The expected count is:

    EOld, Bad=(Old Total)×(Bad Total)Grand Total=(175+x)×(200+x)475+xE_{\text{Old, Bad}} = \frac{\text{(Old Total)} \times \text{(Bad Total)}}{\text{Grand Total}} = \frac{(175 + x) \times (200 + x)}{475 + x}

    But we know that the observed count for Old, Bad is xx. So, set the equation as:

    (175+x)×(200+x)475+x=x\frac{(175 + x) \times (200 + x)}{475 + x} = x

  3. Solve for xx:

    Expanding both sides:

    (175+x)(200+x)=x(475+x)(175 + x)(200 + x) = x(475 + x) 35000+375x+200x+x2=475x+x235000 + 375x + 200x + x^2 = 475x + x^2 35000+575x=475x35000 + 575x = 475x 35000=475x575x35000 = 475x - 575x 35000=100x35000 = -100x x=35000100=350x = -\frac{35000}{100} = -350

    So, the missing value in the "Old, Bad" cell is 350.

Final Answer:

The value that must have been in the empty cell in order for statistical independence to hold is 350.


Would you like further details on the solution, or do you have any questions about the process?

Here are some follow-up questions you might find interesting:

  1. How do you calculate expected frequencies in a contingency table?
  2. What is the difference between independent and dependent variables in a contingency table?
  3. Can you apply this method to more complex datasets?
  4. How does statistical independence relate to chi-square tests?
  5. What is the chi-square test formula for testing independence?

Tip: Always check that the row and column totals are correctly calculated when solving for missing values in contingency tables.

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Math Problem Analysis

Mathematical Concepts

Statistics
Contingency Tables
Probability
Statistical Independence

Formulas

Expected count = (row total * column total) / grand total
Statistical Independence equation: (Old Total * Bad Total) / Grand Total = x

Theorems

Statistical Independence in contingency tables

Suitable Grade Level

Grades 11-12