A calculate a pooled estimatenbspnbspof their assumed


Power line outages. Use the data on the four longest power lines in Table 1.1

(a) Calculate a pooled estimate  of their assumed common true failure rate.

(b) Calculate the test statistic (1.7). How many degrees of freedom does it have? Look up the 95 and 99% points of the corresponding chi-square distribution.

(c) Is the test statistic statistically significant? Which lines contribute significantly to the test statistic?

(d) Is the chi-square approximation adequate? Why? in Table 1.1

Table 1.1

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Accounting Basics: A calculate a pooled estimatenbspnbspof their assumed
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