Hypothesis test using single factor ANOVA.
A marketing manager wants to determine if the advertising spending per month of his competitors is equal or not. Data over the last six months reveals the following figures (in thousands of dollars).
|
A
|
B
|
C
|
|
11
|
9
|
12
|
|
17
|
12
|
23
|
|
27
|
27
|
28
|
|
35
|
45
|
27
|
|
43
|
54
|
39
|
|
38
|
32
|
41
|
a. compute the SSE for these observations;
1. 196
2. 783.50
3. 2942
4. 2934
5. None of the above
b. work out the SST for these observations (answers below are rounded
1. 4
2. 8
3. 2934
4. 16
5. None of the above
c. compute the F-ratio for the ANOVA based on these observations;
1. 0.05
2. 3.68
3. 0.021
4. 0.010
5. None of the above
d. Find out the F-value from the table in the back of the book to test the hypothesis that there is no difference in the average spending among these companies at α= 0.05
1. 3.68
2. 19.43
3. 0.02
4. 3.29
5. None of the above
e. What is your null hypothesis? What is the alternative hypothesis? What your decision about the null hypothesis?