A--------------------------------------------B-----------------------------------------C
5---------------------------------------------6-----------------------------------------4
9---------------------------------------------8-----------------------------------------6
10-------------------------------------------7----------------------------------------14
14-------------------------------------------9----------------------------------------10
38------------------------------------------30---------------------------------------34
μA=38/4 or 9.5-------------------μB=30/4 or 7.5------------------μC=34/4 or 8.5
μBAR=(38+30+34)/[4(3)] or 8.5
SSA is given by 4[(9.5-8.5)2+(7.5-8.5)2+(8.5-8.5)2] or 8.
SSE is given by (5-9.5)2+(9-9.5)2+(10-9.5)2+(14-9.5)2+(6-7.5)2+(8-7.5)2+(7-7.5)2+(9-7.5)2+(4-8.5)2+
(6-8.5)2+(14-8.5)2+(10-8.5)2 or 105.
SST is given by SSA+SSE or 8+105 or 113.
VARIATION------SUM OF SQUARES-------DEGREES OF FREEDOM------MEAN SQUARE
Explained by------SSA=8------------------------------------------(3-1)=2-------------MSA=8/2 or 4
Strategies
(Between
Columns)
Error Or-----------SSE=105----------------------------------------(4-1)3=9------------MSE=105/9 or 35/3
Unexplained
(Within Columns)
Total---------------SST=(105+8)=113----------------------------4(3)-1=11
Obtain F Ratio from Table above as MSA/MSE or 4÷(35/3) or 12/35.
H0: μA=μB=μC
H1: μA≠μB≠μC
12/35 equivalent to 0.343 is less than F Tabular Value of 4.26 for 2 and 9 Degrees Of Freedom at 5% Significance Level (α=0.05) so one accepts the Null Hypothesis H0 that the Mean Sales for each Strategy is the same.