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Chi square Test for the Population variance
When we want to test that a random sample has been drawn from a normal population having specified variance then X2 statistic under the null hypothesis for the random sample of n size will be.
X2 = ∑ (X- x¯) / = ns2/
With (n-1) = Degree of freedom
where S2= sample variance
X2= population variance
N= sample size
This value of X2 will be compared with the table value at (n-1) degree of freedom at certain level of significance for accepting or rejecting null hypothesis.
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How do we determine EOQ?
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