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09. Random samples of employees from three different departments of MNM Corporat

ID: 2949571 • Letter: 0

Question

09. Random samples of employees from three different departments of MNM Corporation showed the followi OUTPUT of yearly incomes (in $1,000). Anova: Single Factor SUMMARY Groups Count Sum Average Variance Department A Department B Department C ANOVA 39 41 43 8.4 18.8 12.8 234 6 246 6 258 F P-value F crit Source of Variation Between Groups Within Groups Ss df M t* 6* e * ea 4 a t * 248 17 Total At ? 0 , test to determine if there is a significant difference among the average incomes of the employees from the three departments. Use both the critical and p-value approaches.

Explanation / Answer

H0 : means of 3 groups are not different.

H1 : means of 3 groups are different.

The following table contains summary of given information

P value method

P value = 0.199 > 0.05

Do not reject H0 at 5%

Conclude that means of 3 groups are not different.

Critical value method

In this case

F critical = 3.682 on (2, 15) degrees of freedom at 5% level.

Now

F = 1.88 < f critical = 3.682

Do not reject H0

Conclusion will remain same.

Source of variation SS df MS F p valu F critical Between 48 2 24 1.88 0.1990 3.682 With in 240 15 13.334 Total 248 17