Stats 215
1.
Anova: Single Factor
SUMMARY
Groups
Count
Sum
Average
Variance
Credit Union
15
63.91
4.260667
0.434378
Other Fin Inst.
15
69.69
4.646
0.572383
Bank
20
92.38
4.619
0.27342
ANOVA
Source of Variation
SS
df
MS
F
Pvalue
F crit
Between Groups
1.442959
2
0.721479
1.757915
0.18355
3.195056
Within Groups
19.28963
47
0.410418
Total
20.73259
49
H
0
=U
1
=U
2
=U
3
H
1
= U
1
≠U
2
≠U
3
Alpha Level= .05 which means that we have 5 chance in 100 of making a type 1 error.
We can see that mean CD rate by the Credit union (4.26) is lower than that of either the Bank
(4.619) or other financial institution (4.646). But the question I pose is these differences
statistically significant? According to the test result F=1.75. With a critical value of .05, the
critical F = 3.19. Therefore, since the F statistic is smaller than the critical value, we fail to reject
the null hypothesis. The null hypothesis was that all 3 of these groups' means were equal. So,
we accept that the three financial institutions have the same rate offered.
Accept H
0
because the F statistic of 1.75 is less that the Critical Value of 3.195….1.75< 3.195
Also Accept H
0
because the P value of .18355 is greater than the Alpha level of .05 .18355 > .05
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Anova: Single Factor
SUMMARY
Groups
Count
Sum
Average
Variance
Downtown
6
1443
240.5
14543.1
University
6
1380
230
2070
River
6
1810
301.6667
696.6667
Interstate
6
1215
202.5
777.5
ANOVA
Source of
Variation
SS
df
MS
F
Pvalue
F
crit
Between Groups
31533
3
10511
2.324508
0.105672
3.0
98
39
1
Within Groups
90436.33
20
4521.817
Total
121969.3
23
H
0
=U
1
=U
2
=U
3
=U
4
H
1
= U
1
≠U
2
≠U
3
≠U
4
Alpha Level= .05 which means that we have 5 chance in 100 of making a type 1 error.
We can see that the mean Sales for burgers on the River (202.5) are much higher than that of
either downtown (240.5), at the University (230) and on the Interstate (202.5).
But the question I
pose is these differences statistically significant? According to the test result F=2.32. With a
critical value of .05, the critical F = 3.09. Therefore, since the F statistic is smaller than the
critical value, we fail to reject the null hypothesis. The null hypothesis was that all 4 of these
groups' means were equal. So, we accept that the four burger locations over the past six weeks
have been statistically the.
Accept H
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 Fall '08
 TBA
 Statistics, Variance, Null hypothesis, Statistical hypothesis testing, critical value

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