Computation of the F-Value in the Analysis of Variance
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The following ANOVA summary data are the result of a regression with sales per year (dependent variable) as a function of promotion expenditures per year (independent variable) for a toy company.
F = ?
MSA = 34,276
MSE = 4,721
The degrees of freedom are 1 for the numerator and 19 for the denominator. Is the relationship statistically significant at alpha= 05? Comment on your answer.
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Solution Summary
The solution computes for the F-value based on the result of a regression with sales per year and promotion expenditures per year for a toy company. Interpretation of the F-value is shown in the attached spreadsheet file.
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In your problem MSR could be 34,276. I am sure the MSE is 4721. By computation we get the F:
F = MSR/MSE
F = 34276/4721
F = 7.26
And based on your information on the degrees of freedom: 1 (numerator) and 19 (denominator)
Now you need to have tabular values of F.
In the critical values ...
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