Question

In: Statistics and Probability

The following data are from an experiment designed to investigate the perception of corporate ethical values...

The following data are from an experiment designed to investigate the perception of corporate ethical values among individuals who are in marketing. Three groups are considered: management, research and advertising (higher scores indicate higher ethical values).

Marketing Managers Marketing Research Advertising
8 5 6
7 5 7
6 4 6
7 4 5
8 5 6
6 4 6

a. Compute the values identified below (to 2 decimal, if necessary).

Sum of Squares, Treatment
Sum of Squares, Error
Mean Squares, Treatment
Mean Squares, Error

Use .05 to test for a significant difference in perception among the three groups.

Calculate the value of the test statistic (to 2 decimals).

Using .05 , determine where differences between the mean perception scores occur.

Calculate Fisher's LSD value (to 2 decimals).

Difference Absolute Value Conclusion
x1-x2 - Select your answer -No significant differenceSignificant differenceItem 10
x1-x3 - Select your answer -No significant differenceSignificant differenceItem 12
x2-x3 - Select your answer -No significant differenceSignificant differenceItem 14

Solutions

Expert Solution

Marketing Managers Marketing Research Advertising
8 5 6
7 5 7
6 4 6
7 4 5
8 5 6
6 4 6
Total(yi) 42 27 36
Averages y̅i 7 4.5 6
Treatment Effect 7 - 5.833 = 1.167 4.5 - 5.833 = -1.333 6 - 5.833 = 0.167
Sum of Squares Degree of freedom Mean Square F0 = MST / MSE P value
Treatment 18.999 2 9.5 19 < 0.01
Error 7.5 15 0.5
Total 26.499 17

Overall total = 105
Overall mean Y̅.. = 105 / 18 = 5.833

Y̅ .. is overall mean
y̅i . is treatment mean
SS total = ΣΣ(Yij - & Y̅..)2 = 26.499
SS treatment = ΣΣ(Yij - & y̅i.)2 = 18.999
SS error = Σ(y̅i. - & Y̅..)2 = 7.5

MS treatment = ΣΣ(Yij - & y̅i.)2 / a - 1 = 9.5
MS error = Σ(y̅i. - & Y̅..)2 / N - a = 0.5

Part a)

SST = 19.00

SSE = 7.50

MST = 9.50

MSE = 0.50

To Test :-
H0 :- µ1 = µ2 = µ3 = 0  
H0 :- µ1 = µ2 = µ3 ≠ 0  

Test Statistic :-
f = MS treatment / MS error = 19.00

Test Criteria :-
Reject null hypothesis if f > f(α , a-1 , N-a )
Critical value f(0.05, 2 , 15 ) = 3.682 (From F table)
Since 19 > 3.682, we reject H0
conclusion = Treatment means differs  

Decision based on P value
Reject null hypothesis if P value < α = 0.05
Since P value = 0 < 0.05, hence we reject the null hypothesis
Conclusion :- Treatment means differs  

Fisher's Least significant Difference ( LSD Method )
The pair of means µi. and µj. would be declared significantly different if > LSD
t(α/2 , N-a ) = 2.131 ( Critical value from t table )


LSD = = 0.87 Since the design is balanced n1 = n1 = n3 = n

= | 7 - 4.5 | = 2.5
= | 7 - 6 | = 1
= | 4.5 - 6 | = 1.5


Since | 7 - 4.5 | > 0.87, we conclude that the population means µ1. and µ2. differ.
Since | 7 - 6 | > 0.87, we conclude that the population means µ1. and µ3. differ.
Since | 4.5 - 6 | > 0.87, we conclude that the population means µ2. and µ3. differ.


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