1. The side effects of a new drug are being tested against a placebo.

A simple random sample of 565 patients yields

the results below. At a significance level of 𝛼 = 0.10, is there enough evidence to conclude that the treatment is
independent of the side effect of nausea?

Result Drug Placebo Total

Nausea 36 13 49
No nausea 254 262 516
Total 290 275 565

a. The null hypothesis 𝐻0: The treatment is independent of the side effect of nausea.

b. The alternative hypothesis 𝐻𝑎: The treatment is dependent of the side effect of nausea.

c. The level of significance is 𝛼 = 0.10

d. The degrees of freedom: (number of rows - 1) x (number of columns - 1) = (2-1) x (2-1) = 1x1 = 1

e. The test statistic:

Row, Column E O (O-E) (O-E) ² (O-E) ²/ E

1,1 49 x 290 / 565 = 36 10.8 116.64 4.629
25.2
1,2 49 x 275 / 565 = 13 -10.8 116.64 4.901
23.8
2,1 516 x 290 / 565 = 254 -10.8 116.64 0.440
264.8
2,2 516 x 275 / 565 = 262 10.8 116.64 0.464
251.2

X² = ∑ (observed – expected) / expected = ∑ (O – E) ² / E = 10.43

f. The critical value is 2.71

g. Decision: Is there enough evidence to reject 𝐻0? Since x² ≈ 10.43 > 2.71, there is enough statistical evidence to reject
the null hypothesis and to believe that the treatment is dependent of the side effect of nausea.