7) (8 POINTS) The table below performs a t-test for the difference of mean grade

Question

7) (8 POINTS) The table below performs a t-test for the difference of mean grades between headquarters and field employees. What conclusions can you draw from this output? Briefly explain your conclusion T-test Output: Grade by Headquarters vs. Field Location Group Statistics Do you work at HO in a field location? Std. Error Mean Std. Deviation Mean is your eadquarters current pay grade? Field 4875 10.99 3.079 044 Independent Samples Test Levene's Test for Equality of Variances t-test for Equality of Means 95% Confidence Interval of the Difference Mean Std. Error Sig. df Sig. (2-tailed) Difference Difference Lower Upper 088 1.207 1.552 081 1.2201539 your qual variances 58.558 000 15.689 6379 1.380 current pay grade? assumed Equal variances not assumed 16.983 2870.528 1380

Explanation / Answer

Result:

The mean grade for headquarters employees is 12.37 with standard deviation2.648. The mean grade for field employees is 10.99 with standard deviation 3.079.

The mean difference between headquarters and field employees is significant, t=16.983, P=0.000 which is less than significant level of 0.05.

Note: since Levene’s test of equal variance is significant, F=58.588, P=0.000 which is < 0.05 level, we are considering the result of t test with equal variance not assumed.

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