1. Consumer researchers are studying airline fares from four major airlines. They wish to investigate whether the population mean airline fare is the same for the four airlines. To control for the variation in fares across different locations, they chose 5 destinations and obtained fares from the four airlines for each of the 5 destinations. From these data they found that the sum of squares for the destinations was 648242.5, the sum of squares for error was 7377.5, and the total sum of squares was 663230.0 . a) What experimental design has been used? b) Use the above information to conduct a test of the null hypothesis that mean airline fares are equal for the four airlines. State the null and alternative hypotheses, fill out the ANOVA table, compare your F statistic for the airline effect to a tabled F value and state the conclusion of your test. Use a significance level of a = .05. c) Based on the results from this study, did the inclusion of the destination as a factor in the design help us to detect a difference between the airlines? Briefly explain. You do not need to do any new calculations to answer this question.
1. Consumer researchers are studying airline fares from four major airlines. They wish to investigate whether the population mean airline fare is the same for the four airlines. To control for the variation in fares across different locations, they chose 5 destinations and obtained fares from the four airlines for each of the 5 destinations. From these data they found that the sum of squares for the destinations was 648242.5, the sum of squares for error was 7377.5, and the total sum of squares was 663230.0 .
a) What experimental design has been used?
b) Use the above information to conduct a test of the null hypothesis that mean airline fares are equal for the four airlines. State the null and alternative hypotheses, fill out the ANOVA table, compare your F statistic for the airline effect to a tabled F value and state the conclusion of your test. Use a significance level of a = .05.
c) Based on the results from this study, did the inclusion of the destination as a factor in the design help us to detect a difference between the airlines? Briefly explain. You do not need to do any new calculations to answer this question.
Trending now
This is a popular solution!
Step by step
Solved in 5 steps with 10 images
