The Fisher Exact test is specifically used when:

• A. Sample size is large
• B. Sample size is small (less than 5 for each possible outcome)
• C. Data are normally distributed
• D. Comparing means of two continuous variables

Answer: (B)

Fisher’s exact test is used for analyzing categorical data in small samples, especially with a 2x2 table. When any cell in the table has a small expected count (commonly less than five), the usual chi-square test’s approximation can be unreliable. Fisher’s exact test sidesteps that by calculating the exact probability of the observed arrangement (and more extreme ones) under the null hypothesis of independence, using the hypergeometric distribution. Because it doesn’t rely on large-sample assumptions, it’s the appropriate choice for tiny samples. The other scenarios describe analyses that involve large samples (where chi-square works fine), continuous data that would use tests for means (like a t-test), or non-categorical data, which Fisher’s exact test doesn’t address.