The price drivers pay for gasoline often varies a great deal across regions thro
ID: 3390823 • Letter: T
Question
The price drivers pay for gasoline often varies a great deal across regions throughout the United States. The following data show the price per gallon for regular gasoline for a random sample of gasoline service stations for three major brands of gasoline (Shell, BP, and Marathon) located in eleven metropolitan areas across the upper Midwest region.
Use = .05 to test for any significant difference in the mean price of gasoline for the three brands. Round SS to 6 decimals, MS to 7 decimals, F to 2 decimals and p to 3 decimals, if necessary.
The p-value is
Less than 0.05
Between 0.5 and 0.125
Between 0.25 and 0.05
Between 0.05 and 0.10
Greater than 0.05
Metropolitan Area Shell BP Marathon Akron, OH 3.77 3.83 3.78 Cincinnati, OH 3.72 3.83 3.87 Cleveland, OH 3.87 3.85 3.89 Columbus, OH 3.76 3.77 3.79 Ft. Wayne, IN 3.83 3.84 3.87 Indianpolis, IN 3.85 3.84 3.87 Lansing, MI 3.93 4.04 3.99 Lexington, KY 3.79 3.78 3.79 Louisville, KY 3.78 3.84 3.79 Muncie, IN 3.81 3.84 3.83 Toledo, OH 3.69 3.83 3.86Explanation / Answer
H0: There is no significant difference in the mean price of gasoline for the three brands
H1: There is significant difference in the mean price of gasoline for the three brands
The anova table is calculated as
______________________________________________________________________
Welcome to Minitab, press F1 for help.
Two-way ANOVA: Price per gallon versus Metropolitan Area, Major Brands
Source DF SS MS F P
Metropolitan Area 10 0.108006 0.0108006 8.30 0.000
Major Brands 2 0.015836 0.0079182 6.08 0.009
Error 20 0.026030 0.0013015
Total 32 0.149873
S = 0.03608 R-Sq = 82.63% R-Sq(adj) = 72.21%
_____________________________________________________________________
As per table the p-value of major brans is less than 0.05. So we reject H0.
That is there is significant difference in the mean price of gasoline for the three brands
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.