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Describes how to solve problem using Analysis of Variance

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A stock analyst wants to determine whether there is a difference in the mean rate of return for three types of stock: utility, retail, and banking stocks. The following sample information is collected.

Rates of Return
Utility Retail Banking
14.3 11.5 15.5
18.1 12.0 12.7
17.8 11.1 18.2
17.3 11.9 14.7
19.5 11.6 18.1
13.2

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The expert describes how to solve problems using analysis of variance.

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Solution:

Ho: There is no difference in the mean rate of return for three types of stock.

Ha: there is difference in the mean rate of return for three types of ...

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