MBA5652 Columbia Southern Sun Coast Remediation Data Set Project Instructions
Using t Test and ANOVA With Sun Coast Remediation Data Set
Using the Sun Coast Remediation data set, perform an independent samples t Test, dependent samples t Test, and ANOVA, and interpret the results.
You will utilize Microsoft Excel Toolpak for this assignment.
Example:
Independent Sample t Test
Restate the hypotheses.
Provide data output results from Excel Toolpak.
Interpret the t Test results
Dependent Sample t Test
Restate the hypotheses.
Provide data output results from Excel Toolpak.
Interpret the t Test results
ANOVA
Restate the hypotheses.
Provide data output results from Excel Toolpak.
Interpret the ANOVA results.
Please follow the Unit VI Scholarly Activity template here to complete your assignment.
The title and reference pages do not count toward the page requirement for this assignment. This assignment should be no less than two pages in length, follow APA-style formatting and guidelines, and use references and citations as necessary.
Resources
The following resource(s) may help you with this assignment. UNIT VI STUDY GUIDE
Data Analysis: t Test and ANOVA
Course Learning Outcomes for Unit VI
Upon completion of this unit, students should be able to:
6. Differentiate between various research-based tools commonly used in businesses.
6.1 Identify the most appropriate statistical procedure to use from among t tests or ANOVA to test
hypotheses.
7. Test data for a business research project.
7.1 Determine whether to accept or reject null and alternative hypotheses by using t tests and
ANOVA.
Course/Unit
Learning Outcomes
6.1
7.1
Learning Activity
Unit Lesson
Video: ANOVA with Excel
Video: Performing an Independent Samples t test in Excel
Video: How to do a Two Sample t test Paired Two Sample for Means in Excel
2013
Video: t-test in Microsoft Excel
Article: “Encyclopedia of Research Design: Causal-Comparative Design”
Unit VI Scholarly Activity
Unit Lesson
Unit VI Scholarly Activity
Reading Assignment
In order to access the following resources, click the links below:
Badii, M. (2009, November 23). ANOVA with Excel [Video file]. Retrieved from
Click here for a transcript of the video.
Blake, K. (2011, April 9). Performing an independent samples t test in Excel [Video file]. Retrieved from
Click here for a transcript of the video.
Brewer, E. W., & Kubn, J. (2010). Casual-comparative design. In N. J. Salkind (Ed.), Encyclopedia of
research design: Causal-comparative design. Retrieved from
http://methods.sagepub.com.libraryresources.columbiasouthern.edu/reference/encyc-of-researchdesign/n42.xml
Glen, S. (2013, December 21). How to do a two sample t test paired two sample for means in Excel 2013
[Video file]. Retrieved from https://www.youtube.com/watch?v=RHBIQ2reACM&t=8s
Click here for a transcript of the video.
MBA 5652, Research Methods
1
Grange, J. (2011, April 7). t-test in Microsoft Excel [Video file]. Retrieved from UNIT x STUDY GUIDE
Title
Click here for a transcript of the video.
Unit Lesson
Data Analysis of t Test and ANOVA
Unit V focused on the use of parametric statistical procedures, correlation analysis and regression analysis, to
test hypotheses. Unit VI focuses on two additional parametric statistical procedures used to test hypotheses.
Those two additional procedures are the t test and ANOVA. Like correlation analysis and regression analysis,
the t test and ANOVA are forms of inferential statistics. Predictions are stated in the form of hypotheses,
sample data are collected and tested, and statistically significant results are used to make inferences about
the population of interest (Zikmund, Babin, Carr, & Griffin, 2013).
As was pointed out several times throughout the course, hypothesis testing either looks for statistically
significant relationships between variables or statistically significant differences between variables or groups.
While correlation analysis and regression analysis look for relationships between variables, the t test and
ANOVA look for differences between variables or groups. Consider these examples of research questions
that may be answered using t tests and ANOVA.
Are there differences in air quality between sites A, B, C, and D?
Are there differences in employee safety training scores before and after completion of a training
course?
Are there differences in box weight for cereal coming off production Line 1, Line 2, Line 3, and Line
4?
Are there differences in product satisfaction between male and female consumers?
On the surface, it would seem these questions could easily be answered by simply comparing means. If
samples show that the mean weights of cereal boxes coming off production Line 1, Line 2, Line 3, and Line 4
are 18.2 oz., 18.4 oz., 17.8 oz., and 18 oz. respectively, it would appear the answer is “yes,” there are
differences in box weights for products coming off Line 1, Line 2, Line 3, and Line 4. There is, however, one
important point that prevents drawing any hasty conclusions about mean differences between variables or
groups; mean averages must be tested to determine if statistically significant differences exist. Statistical
procedures, like the t test and ANOVA, are interested in the mean, but they also analyze how the data points
are dispersed around the means. The means from two samples may appear different, but because of the
variance of each data set, there may, in fact, be no statistically significant differences in means.
The t test is used to compare two means (e.g., product satisfaction between male and female consumers)
while ANOVA is used to compare more than two means (e.g., air quality between sites A, B, C, and D).
Experimental and quasi-experimental research designs often use t tests and ANOVA. These are extremely
powerful and useful procedures since variables can be manipulated and controlled to make claims of
causation. For this reason, these statistical procedures are the primary tools used to determine the efficacy of
drugs. This could be seen in testing for the efficacy of a new cancer drug. For example, a control group will
receive a placebo (independent variable1 [IV1]) while an experimental group receives a new drug (IV2). After
the IV1 and IV2 are administered, the control group’s tumor size (dependent variable [DV]) will be compared to
the experimental group’s tumor size. If the mean size of experimental group’s tumor is less than the mean
size of the control group’s tumor and the differences are statistically significant, a claim can be made that the
new drug (IV2) caused a reduction in tumor size (assuming all other variables were held constant).
In many business and social science settings, it is impractical, impossible, unethical, or cost-prohibitive to use
experimental research designs. As an alternative, researchers use causal-comparative research designs (i.e.,
ex post facto designs) to similarly look for differences between groups by comparing means. Since causalcomparative designs are ex post facto, meaning events and variables are analyzed after the fact, it is not
possible to manipulate and control variables. Since causal-comparative designs cannot control variables, as
do experimental designs, causation cannot be claimed (even though the name causal-comparative would
MBA 5652, Research Methods
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suggest otherwise). Nevertheless, causal-comparative designs are effective and
frequently
use
the t test and
UNIT
x STUDY
GUIDE
ANOVA in business and social science research because they can make strong
inferences about the effect
Title
the IV has on the DV (Brewer & Kubn, 2010).
The t Test (i.e., Student’s t Test)
The t test is the simplest form of a test of differences where only two means are compared. There are two
types of t tests: independent test (i.e., between-groups) and dependent test (i.e., within group, paired, or
repeated-measures test).
Independent sample t test (i.e., between groups): Using an independent t test, a DV is measured for two
different groups of people or things that were exposed to different IVs. For example, Plant A employees were
trained using a new safety program that the company is considering purchasing and rolling out to all of their
plants across the United States (IV1). Plant B employees are trained using the same safety program the
employer has used for the past five years (IV2). Lost-time-hours (DV) are then compared between the two
plants to determine if a statistically significant difference exists. The hypotheses would be stated as below.
Ho1: There is no statistically significant difference in lost-time-hours (DV) between Plant A (IV1) and Plant B
(IV2).
Ha1: There is a statistically significant difference in lost-time-hours (DV) between Plant A (IV1) and Plant B
(IV2).
Interpreting the independent sample t test output results: If statistically significant differences exist and
lost-time-hours are lower in Plant A, management can make an informed decision, with certainty, about
whether to invest in the new training program for all plants.
The independent sample t test looked for a statistically significant difference in lost-time-hours between Plant
A training (IV1) and Plant B training (IV2). The results below indicate that the mean lost-time-hours are indeed
lower for Plant A (Variable 1); however, the results also indicate a p value of .37627 > .05. Therefore, the null
hypothesis is accepted that there is no statistically significant difference in lost-time-hours (DV) between Plant
A (IV1) and Plant B (IV2). Given these results, the company would not benefit from purchasing the new
training program for all plants.
Accept Ho1: There is no statistically significant difference in lost-time-hours (DV) between Plant A (IV1) and
Plant B (IV2).
Reject Ha1: There is a statistically significant difference in lost-time-hours (DV) between Plant A (IV1) and
Plant B (IV2).
Dependent sample t test (i.e., within-group, paired, or repeated measure): In a dependent t test, a DV is
measured for one group of people or thing both before and after exposure to an IV to determine if statistically
MBA 5652, Research Methods
3
significant differences exist. For example, assume a company has several years
of data
for the
dependent
UNIT
x STUDY
GUIDE
variable (DV) of lost-time-hours. A year ago, they implemented a new safety training
Title program (IV) that was
purchased from a third party vendor. Management is now interested to know if there has been an
improvement in safety. They compare the mean lost-time-hours before implementing the training to the mean
lost-time-hours after implementing the training. The hypotheses would be stated as below.
Ho1: There is no statistically significant difference in lost-time-hours (DV) before and after safety training (IV).
Ha1: There is a statistically significant difference in lost-time-hours (DV) before and after safety training (IV).
Interpreting the dependent sample t test: If there is a statistically significant difference in mean lost-timehours, and the mean has declined after the training, the company can infer that the training (IV) was
successful. Additionally, this information would be helpful in cost-justifying the expenditure for continued use
of the safety program.
The dependent t test looked for a statistically significant difference in in lost-time-hours (DV) before and after
safety training (IV). The results below indicate that the mean lost-time-hours are indeed lower post-training
and, more importantly, the results also indicate a p value of .0445 < .05. Therefore, the null hypothesis is
rejected, and the alternative hypothesis is accepted that there is a statistically significant difference in losttime-hours (DV) before and after safety training (IV). Given these results, the company would benefit from
continuing the use of the new training program implemented last year.
t test
(G. McClelland, personal communication, May 29, 2018)
Reject Ho1: There is no statistically significant difference in lost-time-hours (DV) before and after safety
training (IV).
Accept Ha1: There is a statistically significant difference in lost-time-hours (DV) before and after safety
training (IV).
The t test is both effective and easy to use when there are only two levels (or groups) of the independent
variables (e.g., Plant A training and Plant B training). If, however, the business problem requires comparing
the means at more than two levels of the independent variable (e.g., Plant A training, Plant B training, and
Plant C training), the t test cannot be used. In this case, ANOVA would be used to compare the DV means for
more than two groups of the IV (Field, 2005).
MBA 5652, Research Methods
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ANOVA (Analysis of Variance, i.e., One-Way ANOVA, Single-Factor ANOVA)
UNIT x STUDY GUIDE
Title
Although the calculations are different, the purpose of using ANOVA and the t test is the same. The
researcher is interested in determining if there are statistically significant differences in the mean scores for
the dependent variable for different groups of people or things. The difference between the t test and ANOVA
is that ANOVA must be used when there are more than two groups or more than two levels of the
independent variable.
Interpreting ANOVA: Interpreting ANOVA output is very similar to how other parametric test results have
been interpreted thus far in the course. Like correlation, regression, and the t test, the main interest
interpreting ANOVA output is whether the p value is less than the .05 alpha level. This determines whether to
accept or reject the null hypothesis. Consider the following example.
A sales organization has used four different lead generation programs (IV). In the table below, columns A, B,
C, and D represent the different groups of the lead generation programs, and the data represent the number
of leads produced each month (DV) for a ten-month period. The ANOVA output indicates that there is a
statistically significant difference in leads (DV) between lead generation programs (IV) at a p value of .00091<
.05. The null hypothesis would, therefore, be rejected, and the alternative hypothesis accepted.
One-way ANOVA
Data Set:
Program 1
98
68
56
72
76
70
85
90
58
77
Statistical Results:
Program 2
83
110
98
88
103
99
89
84
96
101
Program 3
79
78
84
57
85
97
96
87
82
85
Program 4
69
68
76
94
63
65
102
66
73
61
Anova: Single Factor
SUMMARY
Groups
Program 1
Program 2
Program 3
Program 4
Count
10
10
10
10
ANOVA
Source of Variation
Between Groups
Within Groups
SS
2901.4
5085
Total
7986.4
Sum
Average
750
75
951
95.1
830
83
737
73.7
df
Variance
176.8889
77.87778
123.1111
187.1222
MS
F
P-value
F crit
3 967.1333 6.846962 0.00091 2.866266
36
141.25
39
ANOVA example
At this stage, when using correlation, regression, and the t test, the results provide sufficient information to
answer the research questions and inform decision-making regarding the business problem. This is not true
for ANOVA. Although the ANOVA results provide enough information to accept or reject the null, they do not
provide complete information for decision-making. Significant ANOVA results only inform the researcher that
differences exist between means. While the above ANOVA results indicate that differences exist between
means, the results do not indicate where the differences exist (Field, 2005). Therefore, it is unknown whether
differences exist between mean leads produced for all of the methods or only some of the methods.
Fortunately, there is a post-hoc test, Tukey's HSD that can be conducted to determine exactly where the
significant differences exist between means. Once these differences are known, the sales organization can
eliminate the least effective lead generation method(s). Tukey’s will not be covered in this course, but it is
important to be aware of this second stage in using ANOVA to be able to make a completely informed
decision.
Old Navy Scenario Using t Test and ANOVA
To elucidate the differences between t test and ANOVA, consider the following scenario.
Assume Old Navy is interested in running a multimillion-dollar promotional campaign. Their business problem
is how to best allocate the promotional dollars. Since their target market includes both males and females in a
MBA 5652, Research Methods
5
range of ages, they want to determine if statistically significant differences exist
in the
averageGUIDE
expenditure
UNIT
x STUDY
made in their stores each year. If statistically significant differences exist, theyTitle
can allocate their promotional
dollars to more heavily target the market that spends significantly more.
Thanks to their loyalty program, they have in-house data that have been collected at the point-of-purchase
and at the time of purchase. The loyalty program database includes demographic data, such as gender, age,
and expenditures.
The independent variable (IV) in this scenario is the target market. The target market can be segmented into
groups by gender and age range. Old Navy’s researcher is also interested in mean scores of annual
expenditures, which is the dependent variable (DV).
The t test is limited to using two groups, or two levels of the independent variable. In this scenario, assume
that the independent variable that will be tested is gender, and the two levels are males (IV1) and females
(IV2). Since Old Navy’s database contains data for both gender and expenditure, the DV is tested for
statistically significant differences in mean expenditure between males and females. The research question
and hypotheses for this t test would be as follows.
RQ1: Are there differences in expenditure by gender?
Ho1: There is no statistically significant difference in expenditure (DV) between males (IV 1) and females (IV2).
Ha1: There is a statistically significant difference in expenditures (DV) between males (IV1) and females (IV2).
If the t test results indicate that there is a statistically significant difference in mean expenditure by gender, the
null hypothesis can be rejected, and Old Navy can make an informed decision about how best to allocate
promotional dollars.
The researcher could similarly use a t test to analyze the IV of age to determine if there are statistically
significant differences in the DV of expenditure. However, the t test is limited to only two groups, or two levels
of the independent variable. The researcher would have to select only two levels of the IV, such as below 34
and above 35, or 25–34 and 35–44, or any other combination of two levels of age ranges. This restriction
limits value that can be gleaned from the data set. A solution that may seem intuitive would be to conduct
multiple t tests, but there are problems with this approach. If only three levels of the independent variable
were tested (e.g., 25–34, 35–44, 45–54), it would require three separate t tests to compare group means
(e.g., t test 1: 25–34 and 35–44; t test 2: 25–34 and 45–54; and t test 3: 35–44 and 45–54). If the level of
independent variable was increased from 3 to 5, the number of t tests that would need to be conducted would
increase to 10. It should be evident that this is a very cumbersome and impractical approach to testing for
mean differences when the number of groups of the independent variable exceeds two. Another more
important problem with this approach is that the chance of committing a Type I error (rejecting the null when it
should not be rejected) is magnified dramatically as the number of t tests increase (Field, 2005). The lesson
here is that multiple t tests should not be used. Fortunately, ANOVA avoids the problem of both complexity
and magnification of the chance of Type I errors.
ANOVA does not limit the number of groups of the independent variable that can be tested. In the same
scenario, each of the groups of the IV variable can be analyzed at once to determine if there are statistically
significant differences in mean expenditures (DV). The different groups of the IV would be described as
follows:
IV1: Under 12 years old
IV2: 12–17 years old
IV3: 18–24 years old
IV4: 25–34 years old
IV5: 35–44 years old
IV6: 45–54 years old
IV7: 55–64 years old
IV8: 65–74 years old
IV9: 75 years or older
MBA 5652, Research Methods
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The research question and hypotheses for the ANOVA analysis would be:
RQ2: Are there differences in expenditure by age range?
UNIT x STUDY GUIDE
Title
Ho2: There is no statistically significant difference in expenditures (DV) among IV1, IV2, IV3, IV4, IV5, IV6, IV7,
IV8, or IV9.
Ha2: There is a statistically significant difference in expenditures (DV) among IV1, IV2, IV3, IV4, IV5, IV6, IV7,
IV8, or IV9.
If the ANOVA results indicate that there are statistically significant differences in mean expenditure by age
group, the null hypothesis is rejected. As mentioned above, the Tukey’s post-hoc test would be required to
determine exactly where those significant differences exist. When Old N...
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