Analysis of Variance ANOVA

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Analysis of Variance (ANOVA)
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Analysis of Variance Sum of Squares
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Analysis of Variance Sum of Squares Between
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Analysis of Variance Sum of Squares Between
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Analysis of Variance Sum of Squares Within
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Analysis of Variance Sum of Squares Within
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Analysis of Variance Sum of Squares Total
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Analysis of Variance Sum of Squares
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Analysis of Variance Mean Squares Between
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Analysis of Variance Mean Square Within
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Analysis of Variance F-Ratio
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Analysis of Variance F-Ratio
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ANOVA Summary Table Source of Variation

• Between groups
• Sum of squares
• SS between
• Degrees of freedom
• c-1 where cnumber of groups
• Mean squared-MS between
• SS between / c-1

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ANOVA Summary Table Source of Variation

• Within groups
• Sum of squares
• SS within
• Degrees of freedom
• cn-c where cnumber of groups, and
• n number of observations in a group
• Mean squared MS within
• SS within / cn-c

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ANOVA Summary Table Source of Variation

• Total
• Sum of Squares
• SStotal
• Degrees of Freedom
• cn-1 where c number of groups, and
• n number of observations in a group

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Examples
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Example 1
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Example 2
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Test Market Pricing Experiment
Sales in Units (thousands)
Regular Price .99 130 118 87 84 X1104.75 X119
.58
Reduced Price .89 145 143 120 131 X2134.75
Cents-Off Coupon Regular Price 153 129 96 99 X1
119.25
Test Market A, B, or C Test Market D, E, or
F Test Market G, H, or I Test Market J, K, or
L Mean Grand Mean
Example 3