Chapter 12

ANALYSIS OF VARIANCE
 THE F DISTRIBUTION
Definition
1. The F distribution is continuous and
skewed to the right.
2. The F distribution has two numbers of
degrees of freedom: df for the numerator
and df for the denominator.
3. The units of an F distribution, denoted F,
are nonnegative.

2
 THE F DISTRIBUTION cont.

df = (8, 14)
First number denotes Second number
the df for the denotes the df for the
numerator denominator

3
Figure 12.1 Three F distribution curves.

df = (1 , 3)

df = (7 , 6)

df = (12 , 40)

F
4
 Example 12-1
Find the F value for 8 degrees of
freedom for the numerator, 14
degrees of freedom for the
denominator, and .05 area in the right
tail of the F distribution curve.

5
 Solution 12-1
Table 12.1
Degrees of Freedom for the Numerator
Degrees of Freedom for the

1 2 ... 8 ... 100

1 161.5 199.5 . . . 238.9 ... 253.0
Denominator

2 18.51 19.00 . . . 19.37 ... 19.49

. ... ... . . . ... ... ...
14 4.60 3.74 . . . 2.70 ... 2.19
. ... ... . . . ... ... ...
100 3.94 3.09 . . . 2.03 ... 1.39

The F value for 8 df for the numerator, 14 df

for the denominator, and .05 area in the 6
right tail
Figure 12.2 The critical value of F for 8 df for
the numerator, 14 df for the
denominator, and .05 area in the right
tail.

df = (8, 14)

.05

0 2.70 F
The required F value
7
 ONE-WAY ANALYSIS OF
VARIANCE
 Calculating the Value of the Test
Statistic
 One-Way ANOVA Test

8
 ONE-WAY ANALYSIS OF
VARIANCE cont.
 Definition
 ANOVA is a procedure used to test
the null hypothesis that the means of
three or more populations are equal.

9
 Assumptions of One-Way
ANOVA
 The following assumptions must hold
true to use one-way ANOVA.
1. The populations from which the samples are
drawn are (approximately) normally
distributed.
2. The populations from which the samples are
drawn have the same variance (or standard
deviation).
3. The samples drawn from different
populations are random and independent.
10
 Calculating the Value of
the Test Statistic
 Test Statistic F for a One-Way ANOVA
Test
 The value of the test statistic F for
an ANOVA test is calculated
Variance between samples as MSB
F= or
Variance within samples MSW

11
 Example 12-2
 Fifteen fourth-grade students were
randomly assigned to three groups to
experiment with three different
methods of teaching arithmetic. At
the end of the semester, the same
test was given to all 15 students. The
table gives the scores of students in
the three groups.
12
 Example 12-2
Method I Method II Method III
48 55 84
73 85 68
51 70 95
65 69 74
87 90 67
 Calculate the value of the test statistic F.
Assume that all the required assumptions
mentioned earlier hold true

13
 Solution 12-2
Let
 x = the score of a student
 k = the number of different samples (or
treatments)
 ni = the size of sample i
 Ti = the sum of the values in sample i
 n = the number of values in all samples
= n1 + n2 + n3 + . . .
 Σx = the sum of the values in all samples
= T1 + T2 + T3 + . . .
 Σx² = the sum of the squares of the values in all 14
 Solution 12-2
 To calculate MSB and MSW, we first
compute the between-samples sum of
squares denoted by SSB and the within-
samples sum of squares denoted by SSW.
The sum of SSB and SSW is called the total
sum of squares and it is denoted by SST;
that is,
SST = SSB + SSW

15
 Between- and Within-
Samples Sums of Squares
 The between-samples sum of
squares, denoted by SSB, is
calculates as
T2
T 2
T 2
 (∑ x ) 2

SSB = 1
+ 2
+ + ...  −
3

 n1 n2 n3  n

16
 Between- and Within-
Samples Sums of Squares
cont.
 The within-samples sum of
squares, denoted by SSW, is
calculated as
T 2
T 2
T 2

SSW = ∑ x − 
2 1
+ +
2
+ ... 
3

 n1 n2 n3 

17
 Table 12.2
Method I Method II Method III
48 55 84
73 85 68
51 70 95
65 69 74
87 90 67
T1 = 324 T2 = 369 T3 = 388
n1 = 5 n2 = 5 n3 = 5

18
Solution 12-2
∑x = T1 + T2 + T3 = 1081
n = n1 + n2 + n3 = 15
Σx² = (48)² + (73)² + (51)² + (65)² +
(87)² + (55)² + (85)² + (70)² +
(69)² + (90)² + (84)² + (68)² +
(95)² + (74)² + (67)²
= 80,709
19
 Solution 12-2

 (324) 2 (369) 2 (388) 2  (1081) 2

SSB =  + +  − = 432.1333
 5 5 5  15
 (324) 2 (369) 2 (388) 2 
SSW = 80,709 −  + +  = 2372.8000
 5 5 5 
SST = 432.1333 + 2372.8000 = 2804.9333

20
 Calculating the Values of
MSB and MSW
 MSB and MSW are calculated as

SSB SSW
MSB = and MSW =
k −1 n−k

 Where k – 1 and n – k are, respectively, the

df for the numerator and the df for the
denominator for the F distribution.

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Solution 12-2

SSB 432.1333
MSB = = = 216.0667
k −1 3 −1
SSW 2372.8000
MSW = = = 197.7333
n−k 15 − 3
MSB 216.0667
F= = = 1.09
MSW 197.7333
22
 Table 12.3 ANOVA Table

Source of Degrees of Sum of Mean Value of the

Variation Freedom Squares Square Test Statistic
Between k–1 SSB MSB
Within SSW MSW MSB
n–k F=
MSW
Total n–1 SST

23
 Table 12.4 ANOVA Table for Example 12-2

Source of Degrees of Sum of Mean Value of the

Variation Freedom Squares Square Test Statistic
Between 2 432.1333 216.0667
216.0667
Within 12 2372.8000 197.7333 F = = 1.09
197.7333
Total 14 2804.9333

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 One-Way ANOVA Test
Example 12-3
 Reconsider Example 12-2 about the scores of
15 fourth-grade students who were randomly
assigned to three groups in order to
experiment with three different methods of
teaching arithmetic. At the 1% significance
level, can we reject the null hypothesis that
the mean arithmetic score of all fourth-grade
students taught by each of these three
methods is the same? Assume that all the
assumptions required to apply the one-way
ANOVA procedure hold true.
25
 Solution 12-3
 H0: μ1 = μ2 = μ3
 The mean scores of the three groups are
equal
 H1: Not all three means are equal

26
 Solution 12-3
 α = .01
 A one-way ANOVA test is always right-
tailed
 Area in the right tail is .01
 df for the numerator = k – 1 = 3 – 1 = 2
 df for the denominator = n – k = 15 – 3
= 12
 The required value of F is 6.93

27
Figure 12.3 Critical value of F for df = (2,12)
and α = .01.

Do not reject H1 Reject H0

α = .01

0 6.93 F
Critical value of F
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 Solution 12-3
 The value of the test statistic F = 1.09
 It is less than the critical value of F =
6.93
 If falls in the nonrejection region
 Hence, we fail to reject the null
hypothesis

29
 Example 12-4
 From time to time, unknown to its employees, the
research department at Post Bank observes various
employees for their work productivity . Recently this
department wanted to check whether the four tellers
at a branch of this bank serve, on average, the same
number of customers per hour. The research
manager observed each of the four tellers for a
certain number of hours. The following table gives
the number of customers served by the four tellers
during each of the observed hours.

30
Example 12-4

Teller A Teller B Teller C Teller D

19 14 11 24
21 16 14 19
26 14 21 21
24 13 13 26
18 17 16 20
13 18
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 Example 12-4
 At the 5% significance level, test the
null hypothesis that the mean number
of customers served per hour by each
of these four tellers is the same.
Assume that all the assumptions
required to apply the one-way ANOVA
procedure hold true.

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 Solution 12-4
 H0: μ1 = μ2 = μ3 = μ4
 The mean number of customers served
per hour by each of the four tellers is the
same
 H1: Not all four population means are
equal

33
 Solution 12-4
 We are testing for the equality of four
means for four normally distributed
populations
 We use the F distribution to make the
test

34
 Solution 12-4
 α = .05.
 A one-way ANOVA test is always right-tailed.
 Area in the right tail is .05.
 df for the numerator = k – 1 = 4 – 1 = 3
 df for the denominator = n – k = 22 – 4
= 18

35
Figure 12.4 Critical value of F for df = (3, 18)
and α = .05.

Do not reject H0 Reject H0

α = .05

0 3.16 F
Critical value of F
36
 Table 12.5
Teller A Teller B Teller C Teller D
19 14 11 24
21 16 14 19
26 14 21 21
24 13 13 26
18 17 16 20
13 18
T1 = 108 T2 = 87 T3 = 93 T4 = 110
n1 = 5 n2 = 6 n3 = 6 n4 = 5

37
 Solution 12-4
 Σx = T1 + T2 + T3 + T4 =108 + 87 + 93 + 110
= 398
 n = n1 + n2 + n3 + n4 = 5 + 6 + 6 + 5 = 22
 Σx² = (19)² + (21)² + (26)² + (24)² + (18)² +
(14)² + (16)² + (14)² + (13)² +
(17)² + (13)² + (11)² + (14)² + (21)²
+ (13)² + (16)² + (18)² + (24)² +
(19)² + (21)² + (26)² + (20)²
= 7614
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 Solution 12-4
T  (∑ x)
2
T2 2
T 2
T 2
SSB = 1
+ 2
+3
+ 4
 −
 n1 n2 n3 n4  n
 (108) 2 (87) 2 (93) 2 (110) 2  (398) 2
=  + + +  − = 255.6182
 5 6 6 5  22
 T 2
T 2
T 2
T 2

SSW = ∑ x −
2 1
+ 2
+ 3
+ 4

 n1 n2 n3 n4 
 (108) 2 (87) 2 (93) 2 (110) 2 
= 7614 −  + + +  = 158.2000
 5 6 6 5 
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Solution 12-4
SSB 255.6182
MSB = = = 85.2061
k −1 4 −1
SSW 158.2000
MSW = = = 8.7889
n−k 22 − 4
MSB 85.2061
F= = = 9.69
MSW 8.7889
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 Table 12.6 ANOVA Table for Example 12-4

Source of Degrees of Sum of Mean Value of the

Variation Freedom Squares Square Test Statistic
Between 3 255.6182 85.2061
Within 18 158.2000 8.7889 F=
85.2061
= 9.69
8.7889
Total 21 413.8182

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 Solution 12-4
 The value for the test statistic F =
9.69
 It is greater than the critical value of F
 If falls in the rejection region
 Consequently, we reject the null
hypothesis

42