Business Statistics: For Contemporary Decision Making, 8th Edition

CHAPTER 11

Analysis of Variance and Design of Experiments

LEARNING OBJECTIVES

The focus of this chapter is the design of experiments and the analysis of variance, thereby enabling you to:

1. Describe an experimental design and its elements, including independent variables–both treatment and classification–and dependent variables.

2. Test a completely randomized design using a one-way analysis of variance.

3. Use multiple comparison techniques, including Tukey's honestly significant difference test and the Tukey-Kramer procedure, to test the difference in two treatment means when there is overall significant difference between treatments.

4. Test a randomized block design that includes a blocking variable to control for confounding variables.

5. Test a factorial design using a two-way analysis of variance, noting the advantages and applications of such a design and accounting for possible interaction between two treatment variables.

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