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Chapter 12
Analysis of Variance
1. 9.01 from Appendix B.6 (LO12-1)
2. 9.78 (LO12-1)
Ho: 1 2 H1: 1 2
2 2 2 2
5.
Reject Ho where F > 3.10 (3.10 is about halfway between 3.14 and 3.07)
(12) 2
F 2
1.44
F = 1.44, found by (10)
Do not reject Ho. It is reasonable to conclude variations of the two populations could be the
same. (LO12-1)
Ho: 1 2 H1: 1 2
2 2 2 2
6.
(3.9) 2
F 1.24
Reject Ho when F > 3.68 F = 1.24, found by (3.5) 2
Do not reject Ho. There is no evidence the variations in stock 1 is larger than stock 2.
(LO12-1)
9. Step 1: Ho: Southwyck = Franklin = Old Orchard H1: Treatment means are not all the same
Step 2: The 0.05 significance level was chosen
Step 3: Use a F-statistics
Step 4: Reject Ho if F > 4.26
Step 5: Source SS df MS F
Treatment 276.50 2 138.25 14.18
Error 87.75 9 9.75
Reject Ho.
Step 6: The mean incomes are not all the same for the three tracks of land. (LO12-2)
10. Step 1: Ho: Banking = Retail = Insurance H1: Treatment means are not all the same
Step 2: The 0.05 significance level was chosen
Step 3: Use a F-statistics
Step 4: Reject Ho if F > 3.89
Step 5: Source SS df MS F
Treatment 22.93 2 11.45605.7325
Error 24.00 12 2.0
Reject Ho as 5.7325 > 3.89.
Step 6: The mean number of hours spent at the computer are not equal by industry. (LO12-2)
11. a. Ho: 1 = 2 = 3 H1: Treatment means are not all the same
b. Reject Ho if F > 4.26
c. SST = 107.20 SSE = 9.47 SS total = 116.67
d. Source SS df MS F
Treatment 107.20 2 53.600 50.96
Error 9.47 9 1.052
Total 116.67 11
e. Since 50.96 > 4.26, Ho is rejected. At least one of the means differ.
( X 1 X 2 ) t MSE (1/ n1 1/ n2 )
(9.667 2.20) 2.262 1.052(1/ 3 1/ 5)
f. 7.467 1.69
[5.777, 9.157] Yes, we can conclude that the treatments 1 and 2 have different means.
(LO12-3)
12. a. Ho: 1 = 2 = 3 H1: Treatment means are not all the same
b. Reject Ho if F > 3.47
c. SST = 46.96 SSE = 53.00 SS total = 99.96
d. Source SS df MS F
Treatment 46.96 2 23.48 9.30
Error 53.00 21 2.52
Total 99.96 23
e. Since 9.30 > 3.47, Ho is rejected. At least one of the means differ.
( X 1 X 2 ) t MSE (1 / n1 1 / n2 ) (6.0 4.25) 2.080 2.52(1 / 101 1 / 8)
f. or
which is 1.751.57 or [0.18, 3.32]
Yes, we can conclude that the treatments 2 and 3 are different. (LO12-3)
12-2
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Chapter 12 - Analysis of Variance
13. There are two methods to answer this question. Using the six-step method we have the
following.
Step 1: Ho: 1 = 2 = 3 = 4 H1: Treatment means are not all equal
Step 2: 5% level chosen for us.
Step 3: Use an F-statistic
Step 4: Reject Ho if F > 3.71
Step 5: Here is the ANOVA Table
Source SS df MS F
Treatment 32.33 3 10.77 2.36
Error 45.67 10 4.567
Total 78.00 13
Since 2.36 is less than 3.71, Ho is not rejected.
Step 6: There is no difference in the mean number of weeks.
Alternatively we can interpret the p-value given in the output. A p-value of 0.133 is
above the significance level, so we fail to reject the null hypothesis. Regardless of the
method used to test the hypothesis, we find there is no difference in the mean number
of weeks. (LO12-2)
12-3
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McGraw-Hill Education.
Chapter 12 - Analysis of Variance
42
40
Mean
38
36
34
32
30
D-320 J-1000 UV-57
Machine
21. a. There appears to be an interaction. Sales using the UV-57 are better inside and the D-
320 does better outside.
b. Two-way ANOVA: Sales versus Machine, Position
Source SS DF MS F P
Machine 16.333 2 8.167 0.72 0.502
Position 104.167 1 104.167 9.12 0.007
Interaction 457.333 2 228.667 20.03 0.000
Error 205.500 18 11.417
Total 783.333 23
Since the machine p-value (0.502) is greater than 0.05, it appears there is no
difference in the mean sales by machine. The p-value for position (0.007) is less than
0.05 indicating there is evidence that mean sales inside and outside are different.
However, there is a considerable interaction between those factors. Further study is
recommended.
c. T-statistics for the null hypothesis that sales inside are equal to sales outside for each
of the machines are: -6.39, -2.41, and 3.22 for the D-320, J-1000, and UV-57,
respectively. We would not reject the null hypothesis of equal means if the t value is
between -2.571 and 2.571 for the J-1000 and D-320 and if the t-value is between
-2.776 and 2.776 for UV-57. Thus, at the 0.05 level of significance, you can conclude
that D-320 does better outside and the UV-57 does better inside. (LO12-5)
12-5
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McGraw-Hill Education.
Chapter 12 - Analysis of Variance
950
Mean
900
850
800
22. a. It appears males do much better than females in the R & D area.
b. Two-way ANOVA: Salary versus Gender, Area
Source DF SS MS F P
Gender 1 62220 62220.2 6.50 0.020
Area 2 14071 7035.3 0.73 0.494
Interaction 2 80148 40073.8 4.18 0.032
Error 18 172430 9579.4
Total 23 328868
The p-value for gender (0.02) is less than 0.05 indicating a difference in mean
salaries by gender. Since the area p-value (0.494) is greater than 0.05, it appears there
is no difference in the mean salaries by area. However, there is interaction between
those factors and further investigation is needed.
c. The t-statistics for the null hypothesis that mean female salaries is equal to mean male
salaries by area are 0.34, -0.92 and -5.87 for manufacturing, marketing, and R & D,
respectively. These test statistics assume unequal variances. At the 0.05 level of
significance the critical values are 2.776, 2.776 and 2.571 respectively.
You deduce there is no difference in the first two areas but there is a substantial
difference in R & D. (LO12-5)
Ho: 1 2 H1: 1 2
2 2 2 2
23. Subscript 1 denotes oceanfront and 2 the others.
df1 = 21 1 = 20 df2 = 18 1 = 17 Ho is rejected if F > 3.16
2
(45,600)
F 4.57
(21,330) 2
Reject Ho. There is more variation in selling price of ocean front homes. (LO12-1)
Ho: n o H1: n o
2 2 2 2
24.
df1 = 16 1 = 15 df2 = 16 1 = 15 Ho is rejected if F > 2.40
(22) 2
F 3.36
(12) 2
Reject Ho. There is more variation in processing time of the new machine. (LO12-1)
12-6
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McGraw-Hill Education.
Chapter 12 - Analysis of Variance
(22.95) 2
F 2.41
(14.79)2
Fail to reject Ho. There is no evidence the variation of the monthly sales for Sharkey is less
than White. (LO12-1)
28. Source SS df MS F
Treatment 320 2 160 8.00
Error 180 9 20
Total 500 11
a. 3
b. 12
c. 4.26
d. Ho: 1 = 2 = 3 H1: Not all means are equal
e. Ho is rejected. The treatment means differ. (LO12-2)
29. Ho: Discount = Variety = Department H1: Not all means are equal
Ho is rejected if F > 3.89
Source SS df MS F
Treatment 63.33 2 31.667 13.38
Error 28.40 12 2.367
Total 91.73 14
Ho is rejected. There is a difference in the treatment means. (LO12-2)
30. a. Step 1: Ho: Goust = Jet Red = Cloudtran H1: Not all means are equal
Step 2: 5% level chosen for us.
Step 3: Use an F-statistic
Step 4: Ho is rejected if F > 3.29
Step 5: Here is the ANOVA Table
Source SS df MS F
Treatment 127.1 2 63.6 3.04
Error 669.9 32 20.9
Total 797.0 34
Ho is not rejected since 3.04 < 3.29.
12-7
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Chapter 12 - Analysis of Variance
31. Ho: Rec Center = Key Street = Monclova = Whitehouse H1: Not all means are equal
Ho is rejected if F > 3.10
Source SS df MS F
Factor 87.79 3 29.26 9.12
Error 64.17 20 3.21
Total 151.96 23
Since computed F of 9.12 > 3.10, the null hypothesis of no difference is rejected at the 0.05
level there is evidence the number of crimes differs by district. (LO12-2)
Source DF SS MS F P
Factor 2 3182.0 1591.0 35.56 0.000
Error 29 1297.5 44.7
Total 31 4479.5
The hypothesis of identical means can definitely be rejected since the p-value is virtually zero.
As seen from the non-overlapping confidence intervals, clothes have a mean attention span at
least ten minutes below the other groups.
12-8
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McGraw-Hill Education.
Chapter 12 - Analysis of Variance
34. The null hypothesis of equal means is rejected because the F statistic (9.61) is greater than the
critical value (3.49). The pvalue (0.0016) is also less than the significance level (0.05). The
mean waiting times are different. (LO12-2)
35. The null hypothesis of equal means is rejected because the F statistic (8.26) is greater than the
critical value (5.61) using the 0.01 significance level. The pvalue (0.0019) is also less than
the significance level (0.01). The mean gas mileages are different. (LO12-2)
36. a. The null hypothesis of equal means is rejected because the F statistic (11.33) is greater
than the critical value (6.36). The pvalue (0.0010) is also less than the significance
level (0.01). The mean production rates are different.
1 1
( 43.333 41.5) 2.947 0.5444
b. 6 6
This reduces to 1.833 1.255. So the difference is between 0.578 and 3.088.
(LO12-3)
12-9
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Chapter 12 - Analysis of Variance
39. For color the critical value of F is 4.76, for size it is 5.14
Source SS df MS F P
Treatment 25.0 3 8.3333 5.88 0.0227
Blocks 21.5 2 10.75 7.59 0.0321
Error 8.5 6 1.4167
Total 55.0 11
Ho for both treatments and blocks (color and size) is rejected. At least one mean differs for
color and at least one mean differs for size. (LO12-4)
12-10
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Chapter 12 - Analysis of Variance
44. Ho: S = R = L H1: There is a difference in the store means Reject Ho if F > 3.63
Ho: 1 = 2 = 9 H1: There is a difference in the items Reject Ho if F > 2.59
Here is the two-way ANOVA Table
Source SS df MS F P
Stores 0.1370 2 0.0685 3.10 0.0726
Items 71.6136 8 8.9517 405.62 0.0000
Error 0.3531 16 0.0221
Total 72.103 26
There is a difference in the mean price of items but not in the mean price by stores, as the p-
value for items is less than the significance level but not for stores. (LO12-4)
12-11
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Chapter 12 - Analysis of Variance
1200
1150
Mean
1100
1050
1000
Men Women
Gender
47. a.
b. Here is the ANOVA table:
Source DF SS MS F P
Sector 1 156468 156468 40.61 0.000
Gender 1 44086 44086 11.44 0.004
Interaction 1 14851 14851 3.85 0.067
Error 16 61640 3853
Total 19 277046
Fail to reject the null hypothesis of the interaction effect. The interaction p-value
(0.067) is larger than 0.05. There is no significant interaction between the two factors.
c. Since both p-values are less than 5% and very small, means are different by gender
and by sector.
d. Private sector mean wages and male mean wages are higher than the converse of
either public sector wages or female wages. (LO12-5)
12-12
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Chapter 12 - Analysis of Variance
0.16
Mean
0.14
0.12
0.10
A B C D
Brand
48. a.
Here is the MINITAB output: Two-way ANOVA: Dirt versus Cycle, Brand
Source DF SS MS F P
Cycle 3 0.017225 0.0057417 27.02 0.000
Brand 3 0.005725 0.0019083 8.98 0.001
Interaction 9 0.002200 0.0002444 1.15 0.386
Error 16 0.003400 0.0002125
Total 31 0.028550
b. Since the interaction p-value (0.386) is larger than the 0.05 significance level, there is
no evidence of an interaction effect.
c. Both the cycle time means and the brand means are significantly different with
12-13
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McGraw-Hill Education.
Chapter 12 - Analysis of Variance
2 np2 2 np2
49. a. Ho: p H1: p
Reject Ho if F > 2.05 (estimated from table or found using software), where df1 = 66
and df2 = 37
(50.57) 2
F 2.25
(33.71) 2
Reject Ho. There is a difference in the variance of average selling prices between
houses with pools and houses without pools.
2 ng2 2 ng2
b. Ho: g H1: g
Reject Ho if F > 2.11 (estimated from table or found using software) with df1 = 71 and
df2 = 33
(44.88) 2
F 2.57
(28.00) 2
Reject Ho. There is a difference in the variance of average selling prices between
house with garages and houses without garages.
c. Ho: 1 = 2 = 3 = 4 = 5 H1: Not all treatment means are equal
Reject Ho if F > 2.46 with dfN = 4 and dfD = 100 at the 5% level.
Source SS df MS F P
Township 13,263 4 3316 1.52 0.2008
Error 217,505 100 2175
Total 230,768 104
Fail to reject Ho. There is no statistical evidence of differences in the mean selling
price between the five townships. (LO12-2)
a2 g2
50. a. Ho: H1: Reject Ho if F > 2.45
a2 g2
(44.422) 2
F 2.37
(28.845) 2 Do not reject Ho.
There may be no difference in the variances of team salary by league.
b. Sample 1, 2, and 3 are Less than 2, 2 up to 3, and 3 or more, respectively, for
remainder of solution.
Ho: 1 = 2 = 3 H1: Not all treatment means are equal.
Reject Ho if F > 3.35.
Source SS df MS F P
Treatment 235 2 117.5 0.81 0.4538
Error 3895 27 144.3
Total 4130 29
Do not reject Ho. The mean numbers of games won could easily be equal across the
three different attendance categories.
c. Ho: 1 = 2 = 3 H1: Not all treatment means are equal
Reject Ho if F > 3.35.
12-14
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Chapter 12 - Analysis of Variance
Source SS df MS F P
Treatment 42 2 21 0.02 0.9824
Error 31490 27 1166
Total 31531 29
Do not reject Ho. The mean numbers of home runs could be the same across the three
different attendance categories.
d. Ho: 1 = 2 = 3 H1: Not all treatment means are equal.
Reject Ho if F > 3.35.
Source SS df MS F P
Treatment 25296 2 12648 24.31 0.0000
Error 14046 27 520
Total 39342 29
Reject Ho. The mean salaries are likely not the same across the three different
attendance categories. (LO12-2)
12-15
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