A manufacturer of automobile transmissions uses two different processes. Management ordered a study of the production costs to see if there is a difference between the two processes. A summary of the findings is shown next. What is the critical value of F at the 5% level of significance?
A) 19.45
B) 3.00
C) 4.41
D) 4.38

Question

A manufacturer of automobile transmissions uses two different processes. Management ordered a study of the production costs to see if there is a difference between the two processes. A summary of the findings is shown next.  What is the critical value of F at the 5% level of significance?
A) 19.45 
B) 3.00 
C) 4.41 
D) 4.38

Quizplus · Accepted Answer

To find the critical value of F at the 5% level of significance, we need to look at the F-distribution table with 2 degrees of freedom for the numerator and 25 degrees of freedom for the denominator (since there are 2 groups and a total of 27 observations). The value at the intersection of the 2 and 25 degrees of freedom rows and columns is 4.41. Therefore, the critical value of F at the 5% level of significance is 4.41.

A Manufacturer of Automobile Transmissions Uses Two Different Processes