Question

4. An airline wants to know the impact of method of redeeming frequent-flyer miles and the age group of customers on how the number of miles they redeemed. To do so, they perform a two-way analysis of variance on the data for miles redeemed shown on cells L35 to O43 on the answers sheet.
	a. Identify the null and alternative hypotheses for each of the two main effects and the interaction.
	b. Use two-way analysis of variance to test each of these three sets of hypotheses at the 0.05 significance level.

Methods of redeeming miles	Under 25	25 to 40	41 to 60	Over 60	sums	mean
Cash	300,000	60,000	40,000	0
	0	0	25,000	5,000
	25,000	0	25,000	25,000
Discount Vacations	40,000	40,000	25,000	45,000
	25,000	25,000	50,000	25,000
	0	5,000	0	0
Discount Internet Shopping Spree	25,000	30,000	25,000	30,000
	25,000	25,000	50,000	25,000
	75,000	50,000	0	25,000
sums
mean

Answer 1