Presentation on
ANOVA(one way)
Presented by
Nishan Das (11)
Raj Pintu Gowalla (22)
Shailajananda Bora (28)
12/07/2021 CP 201 1
CONTENT
Introduction.
Assumptions.
ANOVA( one way )
Technique in ANOVA (one way)
Example.
How to use in Excel.
Conclusion.
References.
12/07/2021 CP 201 2
ANOVA
Analysis of variance (ANOVA)was developed by R A Fischer, which is used to test the
difference between several populations means.
ANOVA is used to test hypothesis about differences between more than two
samples means. It measure the overall variations within a sample drawn from
population, finds the variation between the sample means.
12/07/2021 CP 201 3
We have to make two estimates of population variance
i.e. one based on between samples variance and other
based on within samples variance .Then the said two
estimates of population variance are compared with
F-test.
12/07/2021 CP 201 4
ASSUMPT
IONS
For the validity of F-Test in ANOVA the following
assumptions are made:
(i) The observations are independent.
(ii)The parent population from which the
observations are taken is normal in nature.
(iii) Various treatment and environmental effect
are additive in nature.
12/07/2021 CP 201 5
ANOVA(one-way )
Many business applications involve experiments in which
different populations(or groups) are classified with respect
to only one attribute of interest such as,
(i)percentage of marks secured by students in a course,
(ii) flavour preference of ice-cream by customers, in such
cases observations in sample data are classified into several
based on a single attribute and is called one-way ANOVA.
In a one-way analysis of variance, we consider only
one factor and then observe that the reason for said
factor. 12/07/2021 CP 201 6
Test of Hypothesis for One way ANOVA
The Null hypothesis is,
H0 : 1= 2=………= k
The alternative hypothesis is,
12/07/2021 CP 201 7
One way ANOVA technique involves the following steps
1) Obtain the mean of each of samples,i.e.
, ....…………,
where there are k samples.
2) Obtain the mean of the sample means as
follows;
12/07/2021 CP 201 8
3) Now we have to take the deviations of the sample means
from the mean of the sample means and calculate the
square of such deviations which may be multiplied by the
number of items in the corresponding sample, and obtain
their total. This is known as the sum of squares for
variance between the samples (or SS)
4) Mean Square (MS) obtain by dividing the above result
by the degree of freedom( d.f ) between the samples.
12/07/2021 9
CP 201
5) Then, obtain deviations of the sample items for all the samples
corresponding means of the samples and calculate the squares
of such deviations and then obtain their total. This is known as
Sum of squares for variance within samples( or SS).
SS within=∑( 2 +∑ 2+………..+∑ 2
6) Obtain Mean squares(MS) within samples, by dividing above
result by degree of freedom ( d.f.) within samples. Symbolically
can be written as,
Where (n-k) is degree of freedom.
n=total number of items in all the samples i.e. n 1 +n2 +…..+nk
k= number of samples. 12/07/2021 CP 201 10
7) Now for a check, the sum of squares of deviation
for total variance can also be calculate.
SS for total variance =∑ 2
here, i=1,2,3……..and j=1,2,3……
This can also obtain by total sum of SS
between and SS within.
SS for total variance=SS between +SS within
Degree for freedom for total variance is
(n-1)=(k-1) +(n-k)
11
12/07/2021 CP 201
8) Finally F-ratio can be calculated by,
The ratio is used to judge whether the difference
among several sample means is significant. If
the calculated value of F is less than the
tabulated value of F, we accept the null
hypothesis, means no significant. If F value is
greater than tabulated value of F than we
reject the null hypothesis.
12/07/2021 CP 201 12
One way ANOVA table
Source of variance Sum of squares Degrees of Mean squares(MS) F-ratio
freedom This is SS divided by d.f.)
( d.f.) and is an estimation of
variance to be used in F-
ratio
Between samples n1( 2
+……
(k-1)
+nk 2
Within samples =∑( 2
+………
(n-k)
+∑ 2
i=1,2,3…
Total ∑ 2
(n-1)
i=1,2,3……
j=1,2,3…
12/07/2021 CP 201
13
Example: Set up a analysis of variance table for the following per acre
production data for three varieties of wheat ,each grown on 4 plots
and state if the variety difference are significant
Plot of land Per acre production data
Variety of wheat
A B C
1 6 5 5
2 7 5 4
3 3 3 3
4 8 7 4
12/07/2021 CP 201 14
Solution:
Here , the Null hypothesis is
H0 : 1= 2= 3
and alternative hypothesis,
12/07/2021 CP 201 15
Then we have to calculate the means of each of the
samples.
Then mean of the samples mean
12/07/2021 CP 201 16
Now we have to determine SS between and
SS within
= 4(6-5)2 +4(5-5)2 +4(4-5)2
= 4+0+4
=8
12/07/2021 CP 201 17
={(6-6)2 +(7-6)2 + (3-6)2+(8-6)2 }
+{(5-5)2+(5-5)2 +(3-5)2 +(7-5)2 }
+{(5-4)2 +(4-4)2 +(3-4)2 +(4-4)2 }
=(0+1+9+4) + (0+0+4+4) + (1+0+1+0)
=14+8+2
=24
SS for total =SS between +SS within
=8+24
=32
12/07/2021 CP 201 18
Now we can setup the ANOVA table for this
problem
Source of SS d.f. MS F-ratio 5% F-limit
variation (from the F-
table)
Between 8 (3-1)=2 8/2=4 4/2.67 F(2,9)=4.26
sample =1.5
Within 24 (12-3)=9 24/9
sample =2.67
12/07/2021 CP 201 19
Example: Set up a analysis of variance table for the following per acre
production data for three varieties of wheat ,each grown on 4 plots
and state if the variety difference are significant, with the help of Excel
Plot of land Per acre production data
Variety of wheat
A B C
1 6 5 5
2 7 5 4
3 3 3 3
4 8 7 4
12/07/2021 CP 201 20
Conclusion
Thus ANOVA is an extremely useful technique
concerning researches in the field such as
Economic, Business, and several other
discipline.
Using this technique one can draw inferences
about whether the sample have been drawn
from the population having same mean.
12/07/2021 CP 201 21
References
Practical Statistics using
Microsoft excel
Dr. D. Bhattacharjee
Research methodology
C.R. Kothari
Business statistics
J.K.Sharma
12/07/2021 CP 201 22
12/07/2021 CP 201 23