In: Math
How productive are U.S. workers? One way to answer this question is to study annual profits per employee. A random sample of companies in computers (I), aerospace (II), heavy equipment (III), and broadcasting (IV) gave the following data regarding annual profits per employee (units in thousands of dollars).
I | II | III | IV |
27.5 | 13.7 | 22.8 | 17.1 |
23.3 | 9.3 | 20.3 | 16.7 |
14.7 | 11.7 | 7.9 | 14.5 |
8.6 | 8.9 | 12.5 | 15.3 |
11.5 | 6.1 | 7.2 | 10.4 |
19.2 | 9.1 |
Shall we reject or not reject the claim that there is no difference in population mean annual profits per employee in each of the four types of companies? Use a 5% level of significance.
(b) Find SSTOT, SSBET, and
SSW and check that SSTOT =
SSBET + SSW. (Use 3 decimal places.)
SSTOT | = | |
SSBET | = | |
SSW | = |
Find d.f.BET, d.f.W,
MSBET, and MSW. (Use 3 decimal
places for MSBET, and
MSW.)
dfBET | = | |
dfW | = | |
MSBET | = | |
MSW | = |
Find the value of the sample F statistic. (Use 3 decimal
places.)
What are the degrees of freedom?
(numerator)=
(denominator)=
(f) Make a summary table for your ANOVA test.
Source of Variation |
Sum of Squares |
Degrees of Freedom |
MS | F Ratio |
P Value | Test Decision |
Between groups | ---Select--- p-value > 0.100 0.050 < p-value < 0.100 0.025 < p-value < 0.050 0.010 < p-value < 0.025 0.001 < p-value < 0.010 p-value < 0.001 | ---Select--- Do not reject H0. Reject H0. | ||||
Within groups | ||||||
Total |
treatment | I | II | III | IV | ||
count, ni = | 5 | 6 | 5 | 6 | ||
mean , x̅ i = | 17.120 | 11.48 | 14.140 | 13.85 | ||
std. dev., si = | 7.999 | 4.581 | 7.119 | 3.337 | ||
sample variances, si^2 = | 63.992 | 20.986 | 50.683 | 11.135 | ||
total sum | 85.6 | 68.9 | 70.7 | 83.1 | 308.3 | (grand sum) |
grand mean , x̅̅ = | Σni*x̅i/Σni = | 14.01 | ||||
square of deviation of sample mean from grand mean,( x̅ - x̅̅)² | 9.649 | 6.402 | 0.016 | 0.027 | ||
TOTAL | ||||||
SS(between)= SSB = Σn( x̅ - x̅̅)² = | 48.247 | 38.415 | 0.080 | 0.161 | 86.90258 | |
SS(within ) = SSW = Σ(n-1)s² = | 255.968 | 104.928 | 202.732 | 55.675 | 619.303 |
no. of treatment , k = 4
df between = k-1 = 3
N = Σn = 22
df within = N-k = 18
mean square between groups , MSB = SSB/k-1 =
28.9675
mean square within groups , MSW = SSW/N-k =
34.4057
F-stat = MSB/MSW = 0.8419
----------------
b)
SS tot= 706.206
SS bet= 86.903
SSW= 619.303
dfBET = 3
dfW = 18
MSBET = 28.968
MSW = 34.406
F= 0.842
(numerator)=3
(denominator)=18
f)
anova table | ||||||
SS | df | MS | F | p-value | ||
Between: | 86.903 | 3 | 28.968 | 0.842 | p-value > 0.100 | Do not reject H0 |
Within: | 619.303 | 18 | 34.406 | |||
Total: | 706.206 | 21 | ||||
α = | 0.05 |