In the ANOVA Test, If the Null Hypothesis Is True

question 21

Multiple Choice

In the ANOVA test, if the null hypothesis is true, then

• A) SSB should be at least twice as much as dfb
• B) SSW should be much greater than SSB
• C) the combined dfb and dfw should be much greater than the SST
• D) the mean square between (MSB) and the mean square within (MSW) should be roughly equal in value

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Definitions:

Direct Materials Purchase Budget

A financial plan that estimates the raw materials to be purchased to meet production needs and inventory policy requirements.

Ending Inventories

The value or quantity of goods available for sale or use at the end of an accounting period.

Accounts Payable

Liabilities representing amounts owed to creditors for goods and services the company has received but not yet paid for.

Raw Materials Purchases

is the total cost of raw materials bought for production during a given period.