Republic of the Philippines

Laguna State Polytechnic University

Province of Laguna
ISO 9001:2015 Certified
Level I Institutionally Accredited

LSPU Self-Paced Learning Module (SLM)

Course Statistical Analysis with Computer Applications
Sem/AY Second Semester/2021-2022
Module No. 4
Lesson Title Analysis of Variance
Week
Duration
Date
Description This lesson will discuss a statistical tool that will determine if there are any statistical
of the differences between the means of three or more independent groups.
Lesson

Learning Outcomes
Intended Students should be able to meet the following intended learning outcomes:
Learning • Identify problems involving Analysis of Variance (ANOVA).
Outcomes • Construct null (Ho) and alternative hypothesis (Ha) in an Analysis of Variance
problem.
• Perform Analysis of Variance through an F-test.
• Interpret the results of ANOVA.
• State practical decisions from the results of the ANOVA.
Targets/ At the end of the lesson, students should be able to come up with practical decisions
Objectives involving the means of two or more groups of samples.

Student Learning Strategies

Online Activities A. Online Discussion via Google Meet or Zoom

(Synchronous/ You will be directed to attend in a One-Hour class discussion on the
Testing of Hypothesis. To have access to the Online Discussion, refer to
Asynchronous) this link: ____________________.

The online discussion will happen on ________________________, from

________________________________.
Offline Activities
(e-Learning/Self- Analysis of Variance
Paced)

LSPU SELF-PACED LEARNING MODULE: BUSINESS STATISTICS

 Republic of the Philippines
Laguna State Polytechnic University
Province of Laguna
ISO 9001:2015 Certified
Level I Institutionally Accredited
Guide Questions
1. What is Analysis of Variance?
2. What are the steps in conducting an F-test?
3.

Lecture Guide

Analysis of Variance (ANOVA) is a technique in inferential statistics

designed to test whether or not more than 2 samples (or groups) are
significantly different from each other. It can be conducted using the F-test.

Example: A marketing analyst wishes to see if there is a difference in the average

time a customer has to wait in a checkout line in three supermarkets in San
Pablo, Laguna.

PureSilver SoriaMart MultiMart

3 5 1
2 8 3
5 9 4
6 6 2
3 2 7
1 5 3

At α = 0.05, is there a significant difference in the mean waiting time of customers

for each store?

The steps in hypothesis testing would also be followed.

Step 1. State the hypotheses and identify the claim.
Ho: 1 = 2 = 3
The mean waiting time of customers among the three supermarkets does
not differ significantly.
Ha: 1 ≠ 2 ≠ 3
At least one of the mean waiting times of customers for the three
supermarkets is different.
Step 2. Find the critical value.
Here, we symbolize k as the number of groups, so, k=3, N=18 and α =
0.05. The degree of freedom for the F-test is (k-1, N-k). Therefore, the
degree of freedom for this particular problem is (2,15). From the F table
attached to this module, Ft = 3.682.

LSPU SELF-PACED LEARNING MODULE: BUSINESS STATISTICS

 Republic of the Philippines
Laguna State Polytechnic University
Province of Laguna
ISO 9001:2015 Certified
Level I Institutionally Accredited

Step 3. Compute the test-statistic.

PureSilver SoriaMart MultiMart

3 5 1
2 8 3
5 9 4
6 6 2
3 2 7
1 5 3
Group Means 3.33 5.83 3.33
Overall Mean 4.17

a. Calculate SSR.

We will calculate the regression sum of squares (SSR) using the following
formula:
nΣ(Xj – X..)2
where:
n: the sample size of group j
Xj: the mean of group j
X..: the overall mean

In our example, we calculate that SSR = 6(3.33-4.17)2 + 6(5.83-

4.17)2 + 6(3.33-4.17)2 = 25

b. Calculate SSE.

Next, we will calculate the error sum of squares (SSE) using the following
formula:
Σ(Xij – Xj)2
where:
Σ: a greek symbol that means “sum”
Xij: the ith observation in group j
Xj: the mean of group j

In our example, we calculate SSE as follows:

Group 1: (3-3.33)2 + (2-3.33)2 + (5-3.33)2 + (6-3.33)2 + (3-3.33)2 + (1-
3.33)2 = 17.33

LSPU SELF-PACED LEARNING MODULE: BUSINESS STATISTICS

 Republic of the Philippines
Laguna State Polytechnic University
Province of Laguna
ISO 9001:2015 Certified
Level I Institutionally Accredited

Group 2: (5-5.83)2 + (8-5.83)2 + (9-5.83)2 + (6-5.83)2 + (2-5.83)2 + (5-

5.83)2 = 30.83

roup 3: (1-3.33)2 + (3-3.33)2 + (4-3.33)2 + (2-3.33)2 + (7-3.33)2 + (3-3.33)

= 21.33

SSE: 17.33+30.83+21.33 = 69.49

Step 4: Calculate SST.

Next, we will calculate the total sum of squares (SST) using the following
formula:

SST = SSR + SSE

In our example, SST = 25 + 69.49 = 94.49

Step 5: Fill in the ANOVA table.

Now that we have SSR, SSE, and SST, we can fill in the ANOVA table:

Source Sum of Squares (SS) df Mean Squares (MS) F

Treatment 25 2 12.5 2.700
Error 69.49 15 4.63
Total 94.49 17

Step 6: Interpret the results.

The F test statistic for this one-way ANOVA is 2.700. To determine if this is a
statistically significant result, we must compare this to the F critical value
found in the F distribution table with the following values:

• α (significance level) = 0.05

• DF1 (numerator degrees of freedom) = df treatment = 2
• DF2 (denominator degrees of freedom) = df error = 15

We find that the F critical value is 3.682.

Since the F test statistic in the ANOVA table is less than the F critical value in
the F distribution table, we fail to reject the null hypothesis. This means we
don’t have sufficient evidence to say that there is a statistically significant
difference between the mean waiting time for the three supermarkets.

LSPU SELF-PACED LEARNING MODULE: BUSINESS STATISTICS

 Republic of the Philippines
Laguna State Polytechnic University
Province of Laguna
ISO 9001:2015 Certified
Level I Institutionally Accredited

LSPU SELF-PACED LEARNING MODULE: BUSINESS STATISTICS

 Republic of the Philippines
Laguna State Polytechnic University
Province of Laguna
ISO 9001:2015 Certified
Level I Institutionally Accredited

Performance Tasks

1. In learning experiment, 10 students are randomly assigned to each of four groups. Each group is
asked to perform a set of tasks after the exposure to the experimental treatment. Do the groups
differ in task performance? Test this problem at 5% level of significance.
Group 1 Group2 Group 3 Group 4
20 19 18 16
18 18 18 16
17 18 15 15
17 17 14 15
15 15 13 14
14 14 12 12
12 13 12 12
11 13 11 10
10 10 10 8
10 8 9 5

LSPU SELF-PACED LEARNING MODULE: BUSINESS STATISTICS

 Republic of the Philippines
Laguna State Polytechnic University
Province of Laguna
ISO 9001:2015 Certified
Level I Institutionally Accredited

Learning Resources

• Sirug, W. S. (2015). Introduction to Business Statistics: A Comprehensive Approach,

Revised Edition. Manila: Mindshapers Co., Inc.
• Bueno, D. C. (2016). Introduction to Statistics (Concepts and Applications in Research).
Quezon City: Great Books Trading.
• Cabero, J. B. et. al. (2013). Business Statistics. Mandaluyong City: Anvil Publishing, Inc.
• Barradas, J. (n.d.). Advanced Statistics. San Pablo City: San Pablo Colleges
• James, G. (2009). An Introduction to Statistical Learning with Applications in R. New York:
Springer
• Anez-Tandang, N., Arana, R.A., Quibuyen, M. J. & Roldan, R. (n.d). SH-Stat 1 Inferential
Statistics: Workbook of Exercises. Los Banos Laguna: University of the Philippines Los
Banos
• Hypothesis Testing (n.d.). Retrieved from https://www.statisticshowto.com/probability-
and-statistics/hypothesis-testing/
• Morrissette, R.N. (n.d.). Statistics for the Behavioral Sciences. Retrieved from
https://www2.palomar.edu/users/rmorrissette/Lectures/Stats/ttests/ttests.htm

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This module is for educational purpose only. Under section Sec. 185 of RA 8293, which states,
“The fair use of a copyrighted work for criticism, comment, news reporting, teaching including
multiple copies for classroom use, scholarship, research, and similar purposes is not an
infringement of copyright”.

The unauthorized reproduction, use, and dissemination of this module, without joint consent of
the authors and LSPU, is strictly prohibited and shall be prosecuted to the full extent of the law,
including appropriate administrative sanctions, civil, and criminal.
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LSPU SELF-PACED LEARNING MODULE: BUSINESS STATISTICS