Guide to Using Excel For Basic Statistical Applications To Accompany Business Statistics: A Decision Making Approach, 7 th Ed. Chapter 12: Analysis of Variance By Groebner, Shannon, Fry, & Smith Prentice-Hall Publishing Company Copyright, 2008
Chapter 12 Excel Examples n n Analysis of Variance Hydronics Corporation Analysis of Variance Digitron Inc. Randomized Complete Block Analysis of Variance Citizens State Bank Two Factor Analysis of Variance with Replications - Fly High Airlines
Analysis of Variance Hydronics Corporation Issue: The company wants to compare two weight loss supplements with a placebo. Objective: Use Excel to help test a hypothesis about the mean weight loss associated with the three groups. Data file is Hydronics. xls
Analysis of Variance – Hydronics Corp. Open the file Hydronics. xls
Analysis of Variance – Hydronics Corp. • Select the Data tab • Select Data Analysis • Select ANOVA: Single Factor
Analysis of Variance – Hydronics Corp. • Input range: b 1: d 92 • Grouped by Columns • Labels in First Row • Alpha: 0. 05 • OK
Analysis of Variance – Hydronics Corp. The Excel output shows we should reject the hypothesis of equal variances. The p-value (which is very small) is less than alpha and F is greater than F critical.
Analysis of Variance Digitron, Inc. Issue: The company wants to compare the stopping distance of four brake systems. Objective: Use Excel to help test a hypothesis about the mean stopping distance associated with the four brake systems. Data file is Digitron. xls -
Analysis of Variance – Digitron Inc. Open the file Digitron. xls
Analysis of Variance – Digitron Inc. • Select the Data tab • Select Data Analysis • Select ANOVA: Single Factor • OK
Analysis of Variance – Digitron Inc. • Set Input range to B 1: E 11 • Grouped by Columns • Labels in First Row • Alpha = 0. 05 • New Worksheet Ply ANOVA • OK
Analysis of Variance – Digitron Inc. The Excel output shows we should reject the hypothesis of equal variances. The p-value is less than alpha of 0. 05 and F is greater than F critical.
Randomized Block ANOVA – Citizens State Bank Issue: Bank managers wish to test the hypothesis that there is no difference in the average house appraisal by three different appraising companies. Objective: Use Excel to test the hypothesis there is no difference in average appraisal value. Data file is Citizens. xls
Randomized Block ANOVA – Citizens State Bank • Open the file Citizens. xls • Selected the Data tab • Select Data Analysis • Select ANOVA: Two-Factor Without replication • OK
Randomized Block ANOVA – Citizens State Bank • Input Range = A 1: D 6 Input = A 1: D 6 • Select Labels • Alpha = 0. 05 Alpha • New Worksheet Ply: ANOVA • OK OK
Randomized Block ANOVA – Citizens State Bank The F and p-values indicate that both blocking and main effects are significant. Blocking Test Main Test Within
Two Factor ANOVA With Replications - Fly High Airlines Issue: The airline is interested in determining the effect of redemption offers on the number of miles that would be redeemed by age group. Objective: Use Excel to test the hypothesis there is no difference in average redemption rate by age or redemption offer. Data file is Fly-High. xls
Two Factor ANOVA With Replications – Fly High Airlines • Open the file Fly. High. xls • Select the Data Tab • Select Data Analysis • Select ANOVA: Two-Factor With Replication • OK
Two Factor ANOVA With Replications – Fly High Airlines • Input Range = A 1: D 17 • Rows per sample = 4 • Alpha = 0. 05 • New Worksheet Ply: ANOVA • OK
Two Factor ANOVA With Replications – Fly High Airlines This is the last part of the Excel output. Note the low F values and that all p-values are larger than alpha.
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