TABLE 11-8
A hotel chain has identically sized resorts in 5 locations. The data that follow resulted from analyzing the hotel occupancies on randomly selected days in the 5 locations.
Analysis of Variance
Total
-Referring to Table 11-8, what should be the decision for the Levene's test for homogeneity of variances at a 5% level of significance?
A) Reject the null hypothesis because the p-value is smaller than the level of significance.
B) Reject the null hypothesis because the p-value is larger than the level of significance.
C) Do not reject the null hypothesis because the p-value is smaller than the level of significance.
D) Do not reject the null hypothesis because the p-value is larger than the level of significance.

Question

TABLE 11-8
A hotel chain has identically sized resorts in 5 locations. The data that follow resulted from analyzing the hotel occupancies on randomly selected days in the 5 locations.
  Analysis of Variance
  Total
-Referring to Table 11-8, what should be the decision for the Levene's test for homogeneity of variances at a 5% level of significance?
A) Reject the null hypothesis because the p-value is smaller than the level of significance. 
B) Reject the null hypothesis because the p-value is larger than the level of significance. 
C) Do not reject the null hypothesis because the p-value is smaller than the level of significance. 
D) Do not reject the null hypothesis because the p-value is larger than the level of significance.

Quizplus · Accepted Answer

The p-value for Levene's test is 0.077, which is larger than the level of significance of 0.05. Therefore, we do not reject the null hypothesis and conclude that the variances are homogeneous across the five locations.

TABLE 11-8 A Hotel Chain Has Identically Sized Resorts in 5 Locations