Family transportation costs are usually higher than most people believe because those costs include car payments,...

Family transportation costs are usually higher than most people believe because those costs include car payments, insurance, fuel costs, repairs, parking, and public transportation. Twenty randomly selected families in four major cities are asked to use their records to estimate a monthly figure for transportation cost.
1. Use the data obtained and ANOVA to test whether there is a significant difference in monthly transportation costs for families living in these cities. Assume that α = .05. Report a p-value and interpret the results of the statistical test.
2. Use α= 0.05, and construct confidence intervals for all pairs of differences between means. Which of these differences, if any, are statistically significant at the selected significance level?

Atlanta	New York	Los Angeles	Chicago
650	250	850	540
480	525	700	450
550	300	950	675
600	175	780	550
675	500	600	600

Solutions

Expert Solution

minitab<stat<anova<one way anova

Results for: Worksheet 2

One-way ANOVA: Atlanta, New York, Los Angeles, Chicago

Method

Null hypothesis All means are equal
Alternative hypothesis At least one mean is different
Significance level α = 0.05

Equal variances were assumed for the analysis.

Factor Information

Factor Levels Values
Factor 4 Atlanta, New York, Los Angeles, Chicago

Analysis of Variance

Source DF Adj SS Adj MS F-Value P-Value
Factor 3 456630 152210 11.03 0.000
Error 16 220770 13798
Total 19 677400

Model Summary

S R-sq R-sq(adj) R-sq(pred)
117.465 67.41% 61.30% 49.08%

Means

Factor N Mean StDev 95% CI
Atlanta 5 591.0 78.5 (479.6, 702.4)
New York 5 350.0 155.1 (238.6, 461.4)
Los Angeles 5 776.0 134.6 (664.6, 887.4)
Chicago 5 563.0 82.7 (451.6, 674.4)

Pooled StDev = 117.465

Tukey Pairwise Comparisons

Grouping Information Using the Tukey Method and 95% Confidence

Factor N Mean Grouping
Los Angeles 5 776.0 A
Atlanta 5 591.0 A B
Chicago 5 563.0 B
New York 5 350.0 C

Means that do not share a letter are significantly different.

a) since p-value =0.000

since p-value is less than level of significance so we reject null hypothesis.

so there is significant difference between means.

b) there significant difference between pair of means

los Angeles and chigago and los Angeles and newyork

Altanta and newyork

chicago and newyork

orchestra answered 1 year ago

Next > < Previous

Related Solutions

Family transportation costs are usually higher than most people believe because those costs include car payments,...

Family transportation costs are usually higher than most people believe because those costs include car payments, insurance, fuel costs, repairs, parking, and public transportation. Twenty randomly selected families in four major cities are asked to use their records to estimate a monthly figure for transportation cost. Use the data obtained and ANOVA to test whether there is a significant difference in monthly transportation costs for families living in these cities. Assume that = .05. Discuss the business implications of your...

Situation: Family transportation costs are usually higher than most people believe because those costs include car...

Situation: Family transportation costs are usually higher than most people believe because those costs include car payments, insurance, fuel costs, repairs, parking, and public transportation. We asked twenty randomly selected families in four major cities to use their records to estimate a monthly figure for transportation costs. Action: Use the following data and ANOVA to test whether there is a significant difference in monthly transportation costs for families living in these cities. Use significance level of 5%. Discuss the business...

Family transportation costs are usually higher than most people believe. Eighteen randomly selected families in three...

Family transportation costs are usually higher than most people believe. Eighteen randomly selected families in three major cities are asked to use their records to estimate a monthly figure for transportation cost. Use the data obtained and ANOVA to test whether there is a significant difference in monthly transportation costs for families living in these cities. Use α=0.05 Edmonton: 650,480,550,600,675,540 Toronto: 250,525,300,175,500,450 Vancouver: 850,700,950,780,600,675 (i) Report your Levene's test of equal variance test statistic value. Use two decimal places. (ii)...

True or False 1. People with diabetes are at higher risk for certain cancers than those...

True or False 1. People with diabetes are at higher risk for certain cancers than those without diabetes suggests a new study based on a telephone survey of nearly 400,000 adults. This is an example of an observational study. 2. In New York City, there are 3250 walk buttons that pedestrians can press at traffic intersections, and 2500 of them do not work. This is an example of a statistic. 3. In New York City, there are 3250 walk buttons...

Inflation rate during the 1970s was much higher than most people had expected when the decade...

Inflation rate during the 1970s was much higher than most people had expected when the decade began. Use the concept of real interest rate and explain: a) How did this unexpectedly high inflation affect homeowners who obtained fixed-rate mortgages during the 1960s? b) How did it affect the banks that lend the money during the 1960s?

Subjects