a) An auditor randomly checks 1% sales transaction data of the firm (i.e., 5 transaction data) whose summary information is given in the above table, what is the probability she/he will examine all transactions generated from East region only?

b) Given that the auditor is only interested to audit DVD sales, how likely will he examine transactions generated from North and South regions only?

c) Is the sales of DVD independent of region? Justify you claim with appropriate statistical analysis.

In Example, we developed the following cross-tabulation of sales transaction data: In Example, we developed the following cross-tabulation of sales transaction data