Question

For this statistics case study provide a full summary write up to state the results as indicated in the Managerial Report instructions.

Income ($1000s)	Household Size	Amount Charged ($)
54	3	4,016
30	2	3,159
32	4	5,100
50	5	4,742
31	2	1,864
55	2	4,070
37	1	2,731
40	2	3,348
66	4	4,764
51	3	4,110
25	3	4,208
48	4	4,219
27	1	2,477
33	2	2,514
65	3	4,214
63	4	4,965
42	6	4,412
21	2	2,448
44	1	2,995
37	5	4,171
62	6	5,678
21	3	3,623
55	7	5,301
42	2	3,020
41	7	4,828
54	6	5,573
30	1	2,583
48	2	3,866
34	5	3,586
67	4	5,037
50	2	3,605
67	5	5,345
55	6	5,370
52	2	3,890
62	3	4,705
64	2	4,157
22	3	3,579
29	4	3,890
39	2	2,972
35	1	3,121
39	4	4,183
54	3	3,730
23	6	4,127
27	2	2,921
26	7	4,603
61	2	4,273
30	2	3,067
22	4	3,074
46	5	4,820
66	4	5,149

1. Use analysis of variance to test for significant differences.

Answer 1

Ho:mean of three factors do not differ significantly Vs

H1: mean of three factors differ significantly

One-way ANOVA: Income, Household size, amount charged

Source DF SS MS F P
Factor 2 517653692 258826846 890.84 0.000
Error 147 42709671 290542
Total 149 560363364

S = 539.0 R-Sq = 92.38% R-Sq(adj) = 92.27%

Individual 95% CIs For Mean Based on
Pooled StDev
Level N Mean StDev -+---------+---------+---------+--------
Income 50 43.5 14.6 (*-)
Household size 50 3.4 1.7 (*)
amount charged 50 3964.1 933.5 (*)
-+---------+---------+---------+--------
0 1200 2400 3600

Pooled StDev = 539.0
Conclusion: as p-value=0.000< alpha=0.05, we reject Ho, hence we conclude that their is significant difference in mean of three factors.