Institute of Technology of Cambodia 2013-2014

Chapter III :
ANALYSIS OF VARIANCE
(ANOVA)
In previous chapter, we studied inferential
method of comparing the means of two
populations. Now we will study analysis of
variance, or ANOVA, which provides methods
for comparing the means of more than two
populations. There are several different
ANOVA procedures, just as there are several
different procedures for comparing the means of
two populations.
We will examine two types of ANOVA
procedures. The first, called a one-way analysis
of variance. The second, called a two-way
analysis of variance.
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I. One-way analysis of variance

1. Assumptions for one-way ANOVA
a. Independent samples: The sample taken
from the populations under consideration
are independent of one another.
b.Normal populations: The populations
under consideration are normally
distributed.
c. Equal standard deviations: The standard
deviation of the populations under
consideration are equal.
2. Hypothesis
H 0 : 1  2  3  4  ...  k
H1 : Not all the means are equal
3. Sum squares and mean squares for one-
way ANOVA
* Treatment sum of squares, SSTR
SSTR  n1  x1  x   n2  x2  x 
2 2

...  nk  xk  x 
2

* Treatment mean square, MSTR

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SSTR
MSTR 
k 1
* Error sum of squares, SSE
SSE   n1  1 s12   n2  1 s22  ...   nk  1 sk2
* Error mean squares, MSE
SSE
MSE 
nk
where,
k = number of populations being
sampled
n = n1  n2  ...  nk = total number of
pieces of data
x = mean of all n pieces of data
and, for j = 1,2,…,k,
n j = size of sample from Population j
x j = mean of sample from Population
j
s 2j = variance of sample from
Population j

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4. One-way ANOVA tables

Source df SS MS=SS/df F-statistic

MSTR
Treatment k-1 SSTR MSTR F=
MSE
Error n-k SSE STR
Total n-1 SST

5. Step to perform a one-way ANOVA

Step 1: State the null and alternative
hypothesis
Step 2: Decide on the significance level,

Step 3: The critical value is F , with
df = (k-1, n-k), where n is the total
number of pieces of data
Step 4: Calculate the sums of squares
using the shortcut formulas
  x
2

SST   x 
2

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 T1 T2   x
2
2 2 2
Tk
SSTR     ...  
 n1 n2 nk  n
SSE  SST  SSTR
where, for j = 1,2,…,k,
n j = size of sample from
Population j
T j = sum of sample data from
Population j.
Step 5: Construct the one-way ANOVA
table
Step 6: If the value of the F-statistic falls
in the rejection region, the reject
H 0 ; otherwise, do not reject H 0 .
Step 7: State the conclusion in words.

Example 1: The U.S Energy Information

Administration gathers data on residential
energy consumptions and expenditures. Results
are published in Residential Energy
Consumption Survey: Consumption and
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Expenditures. A researcher wants to know

whether there is a difference in mean annual
energy consumptions among households in four
regions of the U.S. By sampling, a researcher
gets the data shown in below table on last’s year
energy consumptions. The data are given to the
nearest 10 million BTU.
Northeast Midwest South West
15 17 11 10
10 12 7 12
13 18 9 8
14 13 13 7
13 15 9
12

At the 5% significance level, do the data

provide sufficient evidence to conclude that
there is a difference in last year’s mean energy
consumptions among households in the four
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U.S. regions? Assume that last year’s energy

consumptions in the four regions are normally
distributed and have equal standard deviations.
Example 2: Manufacturers of golf balls seem to
always be saying that their ball goes the farthest.
A writer for a sports magazine decides to
conduct an impartial test. She randomly selects
20 golf professionals and then randomly assigns
four golfers to each of the five brands. Finally,
each golfer drives the assigned brand of ball.
Here are the results, in yards.
Brand 1 Brand 2 Brand 3 Brand 4 Brand 5

279 284 270 281 281

276 277 262 271 293

281 284 277 269 276

274 288 286 275 292

Do the data provide sufficient evidence to

conclude that a difference exists in mean during
driving distances for the five brands of golf ball.
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Assume that data are normally distributed and

have equal standard deviations.

II. Two-way analysis of variance

1. Assumptions for two-way ANOVA
a. Block samples
b.Normal populations: The populations
under consideration are normally
distributed.
c. Equal standard deviations: The standard
deviation of the populations under
consideration are equal.
2. Hypothesis
H 0 : 1  2  3  4  ...  k
H1 : Not all the means are equal
3.Sum squares in two-way ANOVA
* Total sum of squares, SST
  x
2

SST   x 
2

n
* Treatment sum of squares, SSTR

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 x
2
1 2
SSTR  T1  T2  ...  Tk  
2 2

m n
* Block sum of squares, SSB
 
2
1 2  x
SSB   B1  B2  ...  Bm  
2 2

k n
* Error sum of squares, SSE
SSE  SST  SSTR  SSB
where,
k = number of treatments
m= number of blocks
n = km = total number of pieces of
data
and, for i = 1,2,…,m, and j = 1,2,…,k,
T j = sum of sample data for treatment
j
B j = sum of sample from Block j
4.Two-way ANOVA tables

Source df SS MS=SS/df F-statistic

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MSTR
Treatment k-1 SSTR MSTR F=
MSE
Block m-1 SSB MSB
Error n-k-m+1 SSE MSE
Total n-1 SST

5.Step to perform a two-way ANOVA

Step 1: State the null and alternative
hypothesis
Step 2: Decide on the significance level,

Step 3: The critical value is F , with
df = (k-1, n-k-m+1), where m is
the number of blocks and n is the
total number of pieces of data
Step 4: Calculate the sums of squares
using the shortcut formulas
  x
2

SST   x 
2

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1  T1 T2   x
2
2 2 2
T
SSTR     ...  k 
m  n1 n2 nk  n
 x
2
1 2 
SSB   B1  B22  ...  Bm2  
k n
SSE  SST  SSTR  SSB
Step 5: Construct the two-way ANOVA
table
Step 6: If the value of the F-statistic falls
in the rejection region, the reject
H 0 ; otherwise, do not reject H 0 .
Step 7: State the conclusion in words.

Example 3: Three analgesics are to be compared

for speed of relieving a headache. A randomized
block design is to be employed. Six people are
selected, with each person taking each of the
three analgesics on different occasions and in a
randomly chosen order. The time until headache
relief are shown in below table. Data are given
to the nearest minute.
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Analgesic (Treatment)

Brand A Brand B Brand C

1 18 22 25

13
Person (Block)

2 14 23

3 21 19 23

4 20 29 24

5 12 19 13

6 13 20 20

At the 5% significance level, do the data

provide sufficient evidence to conclude that a
difference exists among the mean times it takes
the three analgesics to relieve a headache?
Assume that for any given person and any given
analgesics, the time until headache relief is
normally distributed; and that the standard
deviations of the times are equal for all person-
analgesic combinations.

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