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AutoWrecks, Inc. sells auto insurance. AutoWrecks keeps close tabs on its customers' driving records, updating its rates according to the trends indicated by these records.

AutoWrecks, Inc. sells auto insurance. AutoWrecks keeps close tabs on its customers' driving records, updating its rates according to the trends indicated by these records. AutoWrecks' records indicate that, in a "typical" year, roughly 70% of the company's customers do not commit a moving violation,10% commit exactly one moving violation, 15% commit exactly two moving violations, and 5% commit three or more moving violations.

This past year's driving records for a random sample of 150 AutoWrecks customers are summarized by the first row of numbers in the table below. That row gives this year's observed frequency for each moving violation category for the sample of 150 AutoWrecks customers. The second row of numbers gives the frequencies expected for a sample of 150 AutoWrecks customers if the moving violations distribution for this year is the same as the distribution for a "typical" year. The bottom row of numbers contains the following value for each of the moving violation categories.

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( 10 - SE ) (Observed frequency - Expected frequency) Expected frequency Part 1 Part 1 V Fill in the missing values in the table. Round your responses for the expected frequencies to two or more decimal places. Round your responses to SE three or more decimal places. Send data to Excel No Exactly one Exactly two Three or more Total X ? violations violation violations violations Observed frequency 90 27 25 8 150 Jo Expected frequency 15.00 22.50 JE 0 9.600 0.278 Part 2 Answer the following to summarize the test of the hypothesis that there is no difference between this year's moving violation distribution and the distribution in a "typical" year. Use the 0.10 level of significance for the test. (a) Determine the type of test statistic to use. X ? Type of test statistic: (Choose one) (b) Find the value of the test statistic. (Round your answer to two or more decimal places.) (c) Find the critical value. (Round your answer to two or more decimal places.) (d) Can we reject the hypothesis that there is no difference between this year's moving violation distribution and the distribution in a "typical" year? Yes No

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