Guide covers hire purchase system fundamentals, explaining buyer-seller agreements where goods are obtained immediately but ownership transfers only after full payment. Includes interest calculations, advantages/disadvantages, accounting treatments in both vendor and purchaser books with practical illustrations.
The Chi-Square test is a statistical method used to examine the association between two categorical variables. It helps determine whether the observed frequencies in different categories differ significantly from the expected frequencies under the assumption of independence. The test involves calculating the Chi-Square statistic using the formula χ2=∑(O−E)2Eχ2=∑E(O−E)2, where OO is the observed frequency and EE is the expected frequency. This statistic is compared against a critical value from the Chi-Square distribution based on degrees of freedom and significance level. Common applications include testing for independence, goodness of fit, and homogeneity to support hypothesis testing in varied fields such as market research, healthcare, and social sciences.