A company claims there is no difference between their prices
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A company claims there is no difference between their prices

A company claims there is no difference between their prices (in dollars) charged on items produced at production levels A, B, C, and D.

1. Construct  the appropriate null and alternative hypotheses by hand.

2. Use Excel to enter “price A” in cell a1, “price B” in cell b1, “price C” in cell c1, and “price D” in cell d2.

3. Starting with cell a2, enter A prices.

4. Starting with cell b2, enter B prices.

5. Starting with cell c2, enter C prices.

6. Starting with cell d2, enter D prices.

7. Use data >> data analysis >> ANOVA single factor.  Place this information in cell g2.  Be sure to enter a2:d12 (far enough to encompass all data)

8. List the test statistic TS= F =______________.

9. List the critical value CV=______________.

10. Determine whether to support or reject the claim at the   significance level. 

A prices B prices C prices D prices

17 18 19 13

16 19 20 13

12 13 14 14

15 13 16 17

19 17 12 19

19 18 20

16 19

15

20

11

19

Hint
Statistics"Both null and alternative hypotheses are 2 mutually exclusive hypothesis about a population.Alternative Hypothesis says that the population parameter could be greater, smaller, or even different than the hypothesized value in the null hypothesis. This hypothesis is what one could believe to be true or hope it to be proved true. Null hypothesis is a type of hypothesis used in the statist...

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