It Is Appropriate to Use ANOVA When

question 15

Multiple Choice

It is appropriate to use ANOVA when:

• A)We want to compare the means of three or more groups.
• B)The dependent variable is at the nominal level of measurement.
• C)The dependent variable has three or more categories.
• D)The independent variable is at the ratio level of measurement.

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Definitions:

Machine Hours

A measurement of production time, tracking the amount of time machines are operated in the manufacturing process.

Direct Labor Hours

Time spent by workers directly involved in the production of goods or services.

Departmental Overhead Rates

Different rates used to allocate overhead costs to products or job functions, based on department-specific activities.

Direct Labor Hours

The total hours worked by employees who are directly involved in the production process of goods or services.