Analyze: ANOVA

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Highlights

A one-way ANOVA with just two levels is the same as a two-tailed t-Test.

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ANOVA Method

Step 1: State the practical problem.

Step 2: State the null and alternative hypotheses.
Step 3: Select appropriate statistical test.
Step 4: Set alpha level.
Step 5: Determine sample size.
Step 6: Develop sampling plan and collect data.
Step 7: Use the appropriate graphical tool to evaluate the data.
Step 8: Do the assumptions for the model hold?
a. Response means independent and response variable normally distributed
within each factor level.
b. Population variances are equal across all levels of the factor.
Step 9: Construct ANOVA table and interpret statistical conclusion.
a. Errors independent and normally distributed about mean zero.
b. Interpret the P-Value (or the F-statistic) for the factor effect .
Step 10: Translate statistical conclusion into practical conclusion.

Practical Statistical Statistical Practical

Problem Problem Conclusion Conclusion

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Mathematical Method

yti = m + tt + eti

Where:

yti = a single response from Treatment t;

m = the overall mean;
tt = Treatment effect t;
eti = Random Error associated Note: Ho assumes the
with each observation treatment term is ZERO.

Mathematical Hypotheses: Conventional Hypotheses:

Ho : t' s = 0 Ho: m1 = m2 = m3 = m4
t

Ha : t' s  0 Ha: at least one mk is different

t

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Session Command

MINITAB®: Data > Stack > Columns

 Stack the following columns: Diet A – D
 Store the stacked data in:
 Column of current worksheet: type in C5
 Store subscripts in: type in C6

MINITAB®: Stat > Basic Statistics > Display Descriptive Statistics

MINITAB®: Graphs > Boxplots > Multiple Ys > Simple

 Graph variables: Diet A - D

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 Analyze: ANOVA

Step 8

 Response means independent and Note: The “between level”

normally distributed. difference would be overwhelmed
by the variation within one level.
– Randomize runs during the This assumption of equal
experiment. variances generally holds,
– Ensure adequate sample sizes. especially if your test is
BALANCED (same # of
– Run a normality test on the data observations in each level).
groups.
m1 m2 m3
 Population variances are equal across all levels of the
factor (you must run a test for equal variances
analysis first).
– For s: Ho: 2pop1 = 2pop2 = 2pop3 = 2pop4= ...
Normality Ha: at least one is different
Test

Test for In MINITAB®: Stat > Basic Statistics > Normality Test
Equal In MINITAB®: Stat > ANOVA > Test for Equal Variances
Variances

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Session Commands

MINITAB®: Stat > ANOVA > One-Way

 Response: Coag Time
 Factor: Diets
 Check off Store Residuals
 Check off Store Fits
 Confidence level: 95.0
 Graphs: Four in one

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 Analyze: ANOVA
What Are Fits and Residuals?

The Fit is just the The residual is

Mean of each Diet Type (Observed Score
- Mean)

Row Diet Fits1 Coag Time Resi1

1 A 61 62 1
2 A 61 60 -1
3 A 61 63 2
4 A 61 59 -2
5 B 66 63 -3
6 B 66 67 1
7 B 66 71 5
8 B 66 64 -2
9 B 66 65 -1
10 B 66 66 0
11 C 68 68 0
12 C 68 66 -2
13 C 68 71 3
14 C 68 67 -1
15 C 68 68 0
16 C 68 68 0
17 D 61 56 -5
18 D 61 62 1
19 D 61 60 -1
20 D 61 61 0
21 D 61 63 2
22 D 61 64 3
23 D 61 63 2
24 D 61 59 -2

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Session Commands

Do the assumptions for the errors hold (residual analysis)?

 Errors of the model are independent and normally distributed.

– Randomize runs during the experiment

– Ensure adequate sample size
– Plot histogram of error terms
– Run a normality check on error terms
– Plot error against run order (I-Chart)
– Plot error against model fit

MINITAB®: Stat > Basic Statistics > Normality Test Variable: RES I 1

The P-Value (0.552) of the residuals plot is greater than the alpha level of
0.05; therefore, the residuals are normally distributed.

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Answers

The P-Value (0.000) for the factor effect is less than the alpha level of 0.05,
and therefore, the null hypothesis is rejected.
The F-test (13.57) is much greater than 1.00, and therefore, the groups are
not similar.

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FILE: ANALYZE-ANOVA HOTELS.MTW

 EXERCISE
City Hotel Stars Price
Are hotels in New York LA NEW OTANI 3 119
City more expensive than LA HILTON 3 150
hotels in other cities?
LA BEVERLY PLZA 3 110
LA HOL INN CONV 2 79
LA LE DUFY 2 145
LA BILTMORE 4 140
LA LE PARC 2 165
LA SHERATON GRD 3 175
SF HOL INN FIN 2 99
SF STOUFFER 5 185
SF MANDARIN 4 265
SF DIVA 2 109
SF GRAND HYATT 4 169
SF HOL INN GATE 2 99
SF NOB HILL LAM 2 175
SF INN AT OPERA 3 110
DC LOMBARDY 2 115
DC SHERATON 2 185
DC HILTON 3 166
DC GRAND HYATT 3 189
DC ONE WASH CIR 3 125
DC COMFORT INN 1 64
DC CAPITOL HILL 1 120
DC RAD PRK TERR 3 119
NY EASTGATE 1 170
NY HELMSLEY MID 2 135
NY HOL INN CRWN 2 185
NY THE MARK 3 250
NY PENINSULA 4 250
NY WARWICK 2 170
NY GRAND HYATT 3 210 25 Minutes
NY THE REGENCY 4 215
* Berk & Carey’s Data Analysis with Microsoft Excel

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