Guide to Using Excel For Basic Statistical Applications To Accompany Business Statistics: A Decision Making Approach, 6th Ed. Chapter 11: Analysis of Variance By Groebner, Shannon, Fry, & Smith Prentice-Hall Publishing Company Copyright, 2005

Chapter 11 Excel Examples  Analysis of Variance - Analysis of Variance - Hydronics Corporation  Analysis of Variance - Analysis of Variance - Digitron Inc.  Randomized Block Analysis of Variance Randomized Block Analysis of Variance Citizens State Bank  Two factor Analysis of Variance with Replications - Fly High Airlines Two factor Analysis of Variance

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 of three groups. Data file is Hydronics.xls

Open File Hydronics.xls Analysis of Variance – Hydronics Corp.

First click on Tools, then Data Analysis and finally on Anova Single Factor. Analysis of Variance – Hydronics Corp.

Define ranges for Variables and select the Alpha value (.05). Click on O.K. Analysis of Variance – Hydronics Corp.

The Excel output shows we should reject the hypothesis of equal variances. The p-value is less than alpha and F is greater than F critical. Analysis of Variance – Hydronics Corp.

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

Open File Digitron.xls Analysis of Variance – Digitron Inc.

First click on Tools, then Data Analysis and finally on Anova Single Factor. Analysis of Variance – Digitron Inc.

Define ranges for Variables and select the Alpha value (.05). Click on O.K. Analysis of Variance – Digitron Inc.

The Excel output shows we should reject the hypothesis of equal variances. The p-value is less than alpha and F is greater than F critical. Analysis of Variance – Digitron Inc.

Randomized Block ANOVA – Citizens State Bank 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 price. Data file is Citizens.xls

Open File Citizens.xls File contains appraisal values for 5 houses. Randomized Block ANOVA – Citizens State Bank

First click on Tools, then Data Analysis and finally on Anova Two Factor Without Replication. Randomized Block ANOVA – Citizens State Bank

Define range for Variables and select the Alpha value (.05). Click on O.K. Randomized Block ANOVA – Citizens State Bank

The F and P-values indicate both the blocking and main effects are significant. Randomized Block ANOVA – Citizens State Bank

Issue: The airline is interested in determining the effect of redemption offers on the number of miles that would be redeemed. The airline is interested in determining the effect of redemption offers on the number of miles that would be redeemed.Objective: Use Excel to test the hypothesis there is no difference in average redemption rate. Data file is Fly- High.xls Use Excel to test the hypothesis there is no difference in average redemption rate. Data file is Fly- High.xls Two Factor ANOVA With Replications - Fly High Airlines

Open file Fly-High.xls Two Factor ANOVA With Replications – Fly High Airlines

First click on Tools, then Data Analysis and finally on Anova Two Factor With Replication. Two Factor ANOVA With Replications – Fly High Airlines

Define range for Variables and Rows per sample. Two Factor ANOVA With Replications – Fly High Airlines

This is last part of the Excel output. Note the low F values and that all P-values are large. Two Factor ANOVA With Replications – Fly High Airlines