A firm is concerned with variability in hourly output at several factories and shifts. Here are the results of an ANOVA using output per hour as the dependent variable (some information is missing). $$\begin{array} { | l | c | c | c | c | c | }
\hline \text { Source } & \text { Sum of Squares } & \text { df } & \text { Mean Square } & \text { FRatio } & \text { P-value } \
\hline \text { Factory } & 19012.5 & 1 & 19012.5 & 26.427 & 0.000 \
\hline \text { Shift } & 258.333 & 2 & 129.167 & 0.180 & 0.838 \
\hline \text { Factory*Shift } & 80908.333 & 2 & 40454.167 & 56.230 & \
\hline \text { Error } & 8633.333 & 12 & 719.444 & & \
\hline \text { Total } & 108812.5 & 17 & 6400.735 & & \
\hline
\end{array}$$ At ? = 0.01 the effect of factory is:
A)clearly significant.
B)clearly insignificant.
C)of borderline significance.

Question

A firm is concerned with variability in hourly output at several factories and shifts. Here are the results of an ANOVA using output per hour as the dependent variable (some information is missing). $$\begin{array} { | l | c | c | c | c | c | } 
\hline \text { Source } & \text { Sum of Squares } & \text { df } & \text { Mean Square } & \text { FRatio } & \text { P-value } \
\hline \text { Factory } & 19012.5 & 1 & 19012.5 & 26.427 & 0.000 \
\hline \text { Shift } & 258.333 & 2 & 129.167 & 0.180 & 0.838 \
\hline \text { Factory*Shift } & 80908.333 & 2 & 40454.167 & 56.230 & \
\hline \text { Error } & 8633.333 & 12 & 719.444 & & \
\hline \text { Total } & 108812.5 & 17 & 6400.735 & & \
\hline
\end{array}$$ At ? = 0.01 the effect of factory is:
A)clearly significant.
B)clearly insignificant.
C)of borderline significance.

Quizplus · Accepted Answer

The p-value for the effect of factory is 0.000, which is less than the significance level of 0.01. Therefore, the effect of factory is clearly significant.

A Firm Is Concerned with Variability in Hourly Output at Several