Describe the following measures of correlation. When do you use each type?

Give an example of
the problem with solution and formula.

1. Point Biserial Correlation

The point biserial correlation coefficient, rpbi, is a special case of Pearson’s correlation
coefficient. It measures the relationship between two variables:

 One continuous variable (must be ratio scale or interval scale).

 One naturally binary variable.*
 Many different situations call for analyzing a link between a binary variable and a
continuous variable.

For example:
Does Drug A or Drug B improve depression?
Are women or men likely to earn more as nurses?

M1 = mean (for the entire test) of the group that received the positive binary variable (i.e.
the “1”).
M0 = mean (for the entire test) of the group that received the negative binary variable
(i.e. the “0”).
Sn = standard deviation for the entire test.
p = Proportion of cases in the “0” group.
q = Proportion of cases in the “1” group.

2. phi coefficient
The Phi Coefficient is a measure of association between two binary variables (i.e.
living/dead, black/white, success/failure).
It is also called the Yule phi or Mean Square Contingency Coefficient and is used
for contingency tables when:
 At least one variable is a nominal variable.
 Both variables are dichotomous variables.
 For a 2×2 contingency table where a, b, c, and d represent the observation frequencies
(the cell count). The formula for phi is:

Solution: Insert the counts into the formula and solve.

Φ = ad – bc / √((a + b)(c + d)(a + c)(b + d))
Φ = 14*13 – 10*6 / √((14 + 10)(6 + 13)(14 + 6)(10 + 13))
Φ = 182 – 60 / √((24)(19)(20)(23))
Φ = 122/ √((24)(19)(20)(23))
Φ = 122/ 458
Φ = 0.266.
3. Tetrachoric correlation
Is used to measure rater agreement for binary data; Binary data is data with two
possible answers—usually right or wrong. The tetrachoric correlation estimates what the
correlation would be if measured on a continuous scale.

It is used for a variety of reasons including analysis of scores in Item Response

Theory (IRT) and converting comorbity statistics to correlation coefficients.
 The formula involves the cosine trigonometric function and can be applied to a
2×2 matrix or contingency table:
rtet = cos (180/(1 + √(BC/AD)).
For the contingency table shown, note the placement of a/b/c/d in the table. Using
those values and plugging them into the formula, we get:
rtet = cos (180/(1 + √(32*17/13*23))
rtet = cos (180/(1 + 1.34885))
rtet = cos (180/(2.34885))
rtet = cos (76.63324)
rtet = 0.23.
.23 is a low correlation.
4. Biserial Correlation
Biserial correlation is almost the same as point biserial correlation, but one of the
variables is dichotomous ordinal data and has an underlying continuity. For example,
depression level can be measured on a continuous scale, but can be classified
dichotomously as high/low.
The formula is:
rb = [(Y1 – Y0) * (pq/Y) ] /σy,
Where:

Y0 = mean score for data pairs for x=0,

Y1 = mean score for data pairs for x=1,
q = proportion of data pairs for x=0,
p = proportion of data pairs for x=1,
σy = population standard deviation.
5. Rank Biserial Correlation
Rank-biserial correlation (rank biserial r or rrb) is used when you want to find a
correlation between dichotomous (binary) nominal data and ordinal (ranked) data.
Formula:
The formula (assuming there are no tied ranks) is:
rrb = 2 * (Y1 – Y0) / n.
Where:

n = number of data pairs in the sample,

Y0 = Y score means for data pairs with x = 0,
Y1 = Y score means for data pairs with x = 1.

Describe the following tests. When do you use each type? Give an example of the problem with
solution and formula.
 1. Z-Test
A Z-test is a type of hypothesis test. Hypothesis testing is just a way for you to figure out
if results from a test are valid or repeatable.
You would use a Z test if:

 Your sample size is greater than 30. Otherwise, use a t test.

 Data points should be independent from each other. In other words, one data point isn’t
related or doesn’t affect another data point.
 Your data should be normally distributed. However, for large sample sizes (over 30) this
doesn’t always matter.
 Your data should be randomly selected from a population, where each item has an equal
chance of being selected.
 Sample sizes should be equal if at all possible.
It is usually used whenever it is arguable whether or not a test statistic follows a normal
distribution under the concerned null hypothesis.

However, it should be kept in mind that a z-test is used only when the sample size is greater
than 30, otherwise, the t-test is used.
Running a Z test on your data requires five steps:

 State the null hypothesis and alternate hypothesis.

 Choose an alpha level.
 Find the critical value of z in a z table.
 Calculate the z test statistic (see below).
 Compare the test statistic to the critical z value and decide if you should support or reject
the null hypothesis.

Formula:
Z = (x – μ) / ơ
where x = any value from the population
μ = population mean
ơ = population standard deviation
Example #1
Let us assume a population of students in a school who appeared for a class test. The mean score
in the test is 75 and the standard deviation is 15. Determine the z-test score of David who scored
90 in the test.

Given,

 The population mean, μ= 75

 Population standard deviation, ơ = 15

Therefore, the z-test statistics can be calculated as,

Z = (90 – 75) / 15

Z=1

Therefore, David’s test score is one standard deviation above the mean score of the population
i.e. as per z-score table, 84.13% students less score than David.

Example #2

Let us take the example of 30 students who were selected as a part of a sample team to be
surveyed to see how many pencils were being used in a week. Determine the z-test score for the
3rd student of based on the given responses: 3, 2, 5, 6, 4, 7, 4, 3, 3, 8, 3, 1, 3, 6, 5, 2, 4, 3, 6, 4, 5,
2, 2, 4, 4, 2, 8, 3, 6, 7.

Given,

x = 5, since the 3rd students response is 5

Sample size, n = 30

Sample mean, = (3 + 2 + 5 + 6 + 4 + 7 + 4 + 3 + 3 + 8 + 3 + 1 + 3 + 6 + 5 + 2 + 4 + 3 + 6 + 4 +
5 + 2 + 2 + 4 + 4 + 2 + 8 + 3 + 6 + 7) / 30

Mean = 4.17

Now, the sample standard deviation can be calculated by using the above formula.

ơ = 1.90
Therefore, the z-test score for the 3rd student can be calculated as,

Z = (x – x ) / s

Z = (5 –17) / 1.90

Z = 0.44

Therefore, the 3rd student’s usage is 0.44 times the standard deviation above the mean usage of
the sample i.e. as per z- score table, 67% students use fewer pencils than the 3rd student.

What is a T-Test?

The t score is a ratio between the difference between two groups and the difference
within the groups. The larger the t score, the more difference there is between groups.

The smaller the t score, the more similarity there is between groups. A t score of 3 means
that the groups are three times as different from each other as they are within each other.
When you run a t test, the bigger the t-value, the more likely it is that the results are
repeatable.
2. T-Test (Independent groups)
3. T-Test (Paired Group)
4. F Test or one-way anova (One dependent Variable)
5. F Test or two-way anova (Two Dependent Varriable)
6. Chi square test of Indepenence
What is an Independent Samples T Test?

The independent samples t test (also called the unpaired samples t test) is the most common form
of the T test. It helps you to compare the means of two sets of data. For example, you could run a
t test to see if the average test scores of males and females are different; the test answers the
question, “Could these differences have occurred by random chance?” The two other types of t
test are:

One sample t test: used to compare a result to an expected value. For example, do males score
higher than the average of 70 on a test if their exam time is switched to 8 a.m.?

Paired t test (dependent samples): used to compare related observations. For example, do test
scores differ significantly if the test is taken at 8 a.m. or noon?
This test is extremely useful because for the z test you need to know facts about the population,
like the population standard deviation. With the independent samples t test, you don’t need to
know this information. You should use this test when:

You do not know the population mean or standard deviation.

You have two independent, separate samples.
Calculating an Independent Samples T Test By hand

Step 1: Sum the two groups:

A: 1 + 2 + 2 + 3 + 3 + 4 + 4 + 5 + 5 + 6 = 35
B: 1 + 2 + 4 + 5 + 5 + 5 + 6 + 6 + 7 + 9 = 50

Step 2: Square the sums from Step 1:

352 = 1225
492 = 2500
Set these numbers aside for a moment.

Step 3: Calculate the means for the two groups:

A: (1 + 2 + 2 + 3 + 3 + 4 + 4 + 5 + 5 + 6)/10 = 35/10 = 3.5
B: (1 + 2 + 4 + 5 + 5 + 5 + 6 + 6 + 7 + 9) = 50/10 = 5
Set these numbers aside for a moment.

Step 4: Square the individual scores and then add them up:
A: 11 + 22 + 22 + 33 + 33 + 44 + 44 + 55 + 55 + 66 = 145
B: 12 + 22 + 44 + 55 + 55 + 55 + 66 + 66 + 77 + 99 = 298
Set these numbers aside for a moment.

Step 5: Insert your numbers into the following formula and solve:
(ΣA)2: Sum of data set A, squared (Step 2).
(ΣB)2: Sum of data set B, squared (Step 2).
μA: Mean of data set A (Step 3)
μB: Mean of data set B (Step 3)
ΣA2: Sum of the squares of data set A (Step 4)
ΣB2: Sum of the squares of data set B (Step 4)
nA: Number of items in data set A
nB: Number of items in data set B

Step 6: Find the Degrees of freedom (nA-1 + nB-1) = 18

Step 7: Look up your degrees of freedom (Step 6) in the t-table. If you don’t know what your alpha level
is, use 5% (0.05).
18 degrees of freedom at an alpha level of 0.05 = 2.10.
Step 8: Compare your calculated value (Step 5) to your table value (Step 7). The calculated value of -1.79
is less than the cutoff of 2.10 from the table. Therefore p > .05. As the p-value is greater than the alpha
level, we cannot conclude that there is a difference between means
Dependent t-test
The paired sample t-test, sometimes called the dependent sample t-test, is a statistical procedure used to
determine whether the mean difference between two sets of observations is zero. In a paired sample t-test,
each subject or entity is measured twice, resulting in pairs of observations. Common applications of the
paired sample t-test include case-control studies or repeated-measures designs. Suppose you are interested
in evaluating the effectiveness of a company training program. One approach you might consider would
be to measure the performance of a sample of employees before and after completing the program, and
analyze the differences using a paired sample t-test.

Dependent t-test
Student's t-test for paired samples (dependent)
Comparison of two means from dependent samples.

Examples for dependence:

Repeated measure, parallelized samples, virtual dependence (e.g. twins)

Requirements:
Dependent variable is at least interval scaled and normal distributed.
Hypothesis:

Nondirectional:

H0: H1:
Directional (example):

H0: H1:
The dependence of two measures from the two samples is gathered from the differences of the
measurement pairs.

Mean and standard deviation of these differences are defined as follows:

Whereas n is the number of pairs.

The decision between the hypothesis is made according to the sample distribution of .
If both populations are normal distributed, the sample distribution is normal, too, with mean

and standard deviation

If is estimated from the sample, we get the following t-distributed equation:

 with degree of freedom df = n-1.

Example of a paired samples t-test

A psychologist is interested in his new learning program. 15 Subjects learn a list of 50 words.
Learning performance is measured using a recall test. After the first test all subjects are
instructed how to use the learning program and then learn a second list of 50 words. Learning
performance is again measured with the recall test. In the following table the number of correct
remembered words are listed for both tests.

Subject Score 1 Score 2

1 24 26 -2 0.36

2 17 24 -7 19.36

3 32 31 1 12.96

4 14 17 -3 0.16

5 16 17 -1 2.56

6 22 25 -3 0.16

7 26 25 1 12.96

8 19 24 -5 5.76

9 19 22 -3 0.16

10 22 23 -1 2.56

11 21 26 -5 5.76

12 25 28 -3 0.16

13 16 19 -3 0.16

14 24 23 1 12.96

15 18 22 -4 1.96

Σ -37 78
n=15
The observed t-value is smaller than the critical t-value (1%, one-tailed). The learning program
has a positive effect. Subjects remember more words after the training.

What is an F Test?

An “F Test” is a catch-all term for any test that uses the F-distribution. In most cases, when
people talk about the F-Test, what they are actually talking about is The F-Test to Compare Two
Variances. However, the f-statistic is used in a variety of tests including regression analysis, the
Chow test and the Scheffe Test (a post-hoc ANOVA test).

General Steps for an F Test

1. If you’re running an F Test, you should use Excel, SPSS, Minitab or some other kind of
technology to run the test. Why? Calculating the F test by hand, including variances, is tedious
and time-consuming. Therefore you’ll probably make some errors along the way.

2.If you’re running an F Test using technology (for example, an F Test two sample for variances
in Excel), the only steps you really need to do are Step 1 and 4 (dealing with the null hypothesis).
Technology will calculate Steps 2 and 3 for you.
State the null hypothesis and the alternate hypothesis.

Calculate the F value. The F Value is calculated using the formula F = (SSE1 – SSE2 / m) /
SSE2 / n-k, where SSE = residual sum of squares, m = number of restrictions and k = number of
independent variables.
3. Find the F Statistic (the critical value for this test). The F statistic formula is:
F Statistic = variance of the group means / mean of the within group variances.
You can find the F Statistic in the F-Table.
4. Support or Reject the Null Hypothesis.
F-Test and One-Way ANOVA

F-distribution

-statisticians discovered that when pairs of samples are taken from a normal population, the
ratios of the variances of the samples in each pair will always follow the same distribution. Not
surprisingly, over the intervening years, statisticians have found that the ratio of sample
variances collected in a number of different ways follow this same distribution, the F-
distribution. Because we know that sampling distributions of the ratio of variances follow a
known distribution, we can conduct hypothesis tests using the ratio of variances.

The F-statistic is simply:

F = s^2_1 / s^2_2

Whereas 12 is the variance of sample 1. Remember that the sample variance is:

S^2 = \sum(x - \over line{x})^2 / (n-1)

Think about the shape that the F-distribution will have. If s12 and s22 come from samples from
the same population, then if many pairs of samples were taken and F-scores computed, most of
those F-scores would be close to one. All of the F-scores will be positive since variances are
always positive — the numerator in the formula is the sum of squares, so it will be positive, the
denominator is the sample size minus one, which will also be positive. Thinking about ratios
requires some care. If s12 is a lot larger than s22, F can be quite large. It is equally possible for
s22 to be a lot larger than s12, and then F would be very close to zero. Since F goes from zero to
very large, with most of the values around one, it is obviously not symmetric; there is a long tail
to the right, and a steep descent to zero on the left.

There are two uses of the F-distribution that will be discussed in this chapter. The first is a very
simple test to see if two samples come from populations with the same variance. The second is
one-way analysis of variance (ANOVA), which uses the F-distribution to test to see if three or
more samples come from populations with the same mean.

A simple test: Do these two samples come from populations with the same variance?

Because the F-distribution is generated by drawing two samples from the same normal
population, it can be used to test the hypothesis that two samples come from populations with the
same variance. You would have two samples (one of size n1 and one of size n2) and the sample
variance from each. Obviously, if the two variances are very close to being equal the two
samples could easily have come from populations with equal variances. Because the F-statistic is
the ratio of two sample variances, when the two sample variances are close to equal, the F-score
is close to one. If you compute the F-score, and it is close to one, you accept your hypothesis that
the samples come from populations with the same variance.

This is the basic method of the F-test. Hypothesize that the samples come from populations with
the same variance. Compute the F-score by finding the ratio of the sample variances. If the F-
score is close to one, conclude that your hypothesis is correct and that the samples do come from
populations with equal variances. If the F-score is far from one, then conclude that the
populations probably have different variances.

The basic method must be fleshed out with some details if you are going to use this test at work.
There are two sets of details: first, formally writing hypotheses, and second, using the F-
distribution tables so that you can tell if your F-score is close to one or not. Formally, two
hypotheses are needed for completeness. The first is the null hypothesis that there is no
difference (hence null). It is usually denoted as Ho. The second is that there is a difference, and it
is called the alternative, and is denoted H1 or Ha.

Using the F-tables to decide how close to one is close enough to accept the null hypothesis (truly
formal statisticians would say “fail to reject the null”) is fairly tricky because the F-distribution
tables are fairly tricky. Before using the tables, the researcher must decide how much chance he
or she is willing to take that the null will be rejected when it is really true. The usual choice is 5
per cent, or as statisticians say, “α – .05″. If more or less chance is wanted, α can be varied.
Choose your α and go to the F-tables. First notice that there are a number of F-tables, one for
each of several different levels of α (or at least a table for each two α’s with the F-values for one
α in bold type and the values for the other in regular type). There are rows and columns on each
F-table, and both are for degrees of freedom. Because two separate samples are taken to compute
an F-score and the samples do not have to be the same size, there are two separate degrees of
freedom — one for each sample. For each sample, the number of degrees of freedom is n-1, one
less than the sample size. Going to the table, how do you decide which sample’s degrees of
freedom (df) are for the row and which are for the column? While you could put either one in
either place, you can save yourself a step if you put the sample with the larger variance (not
necessarily the larger sample) in the numerator, and then that sample’s df determines the column
and the other sample’s df determines the row. The reason that this saves you a step is that the
tables only show the values of F that leave α in the right tail where F > 1, the picture at the top of
most F-tables shows that. Finding the critical F-value for left tails requires another step, which is
outlined in the interactive Excel template in Figure 6.1. Simply change the numerator and the
denominator degrees of freedom, and the α in the right tail of the F-distribution in the yellow
cells.

F-tables are virtually always printed as one-tail tables, showing the critical F-value that separates
the right tail from the rest of the distribution. In most statistical applications of the F-distribution,
only the right tail is of interest, because most applications are testing to see if the variance from a
certain source is greater than the variance from another source, so the researcher is interested in
finding if the F-score is greater than one. In the test of equal variances, the researcher is
interested in finding out if the F-score is close to one, so that either a large F-score or a small F-
score would lead the researcher to conclude that the variances are not equal. Because the critical
F-value that separates the left tail from the rest of the distribution is not printed, and not simply
the negative of the printed value, researchers often simply divide the larger sample variance by
the smaller sample variance, and use the printed tables to see if the quotient is “larger than one”,
effectively rigging the test into a one-tail format. For purists, and occasional instances, the left-
tail critical value can be computed fairly easily.

The left-tail critical value for x, y degrees of freedom (df) is simply the inverse of the right-tail
(table) critical value for y, x df. Looking at an F-table, you would see that the F-value that leaves
α – .05 in the right tail when there are 10, 20 df is F=2.35. To find the F-value that leaves α – .05
in the left tail with 10, 20 df, look up F=2.77 for α – .05, 20, 10 df. Divide one by 2.77, finding
.36. That means that 5 per cent of the F-distribution for 10, 20 df is below the critical value of
.36, and 5 per cent is above the critical value of 2.35.
Putting all of this together, here is how to conduct the test to see if two samples come from
populations with the same variance. First, collect two samples and compute the sample variance
of each, s12 and s22. Second, write your hypotheses and choose α . Third find the F-score from
your samples, dividing the larger s2 by the smaller so that F>1. Fourth, go to the tables, find the
table for α/2, and find the critical (table) F-score for the proper degrees of freedom (n-1 and n-1).
Compare it to the samples’ F-score. If the samples’ F is larger than the critical F, the samples’ F
is not “close to one”, and Ha the population variances are not equal, is the best hypothesis. If the
samples’ F is less than the critical F, Ho, that the population variances are equal, should be
accepted.

Example #1

Lin Xiang, a young banker, has moved from Saskatoon, Saskatchewan, to Winnipeg, Manitoba,
where she has recently been promoted and made the manager of City Bank, a newly established
bank in Winnipeg with branches across the Prairies. After a few weeks, she has discovered that
maintaining the correct number of tellers seems to be more difficult than it was when she was a
branch assistant manager in Saskatoon. Some days, the lines are very long, but on other days, the
tellers seem to have little to do. She wonders if the number of customers at her new branch is
simply more variable than the number of customers at the branch where she used to work.
Because tellers work for a whole day or half a day (morning or afternoon), she collects the
following data on the number of transactions in a half day from her branch and the branch where
she used to work:

Winnipeg branch: 156, 278, 134, 202, 236, 198, 187, 199, 143, 165, 223

Saskatoon branch: 345, 332, 309, 367, 388, 312, 355, 363, 381

She hypothesizes:

She decides to use α – .05. She computes the sample variances and finds:

Following the rule to put the larger variance in the numerator, so that she saves a step, she finds:
 Two-Way ANOVA

A Two-Way ANOVA is useful when we desire to compare the effect of multiple levels of two
factors and we have multiple observations at each level.

One-Way ANOVA compares three or more levels of one factor. But some experiments involve
two factors each with multiple levels in which case it is appropriate to use Two-Way ANOVA.

Factors and Levels - An Example

A Two-Way ANOVA is a design with two factors.

Let us suppose that the Human Resources Department of a company desires to know if
occupational stress varies according to age and gender.

The variable of interest is therefore occupational stress as measured by a scale.

There are two factors being studied - age and gender.
Further suppose that the employees have been classified into three groups or levels:
 age less than 40,

 40 to 55
 above 55

In addition employees have been labelled into gender classification (levels):

 male

 female

In this design, factor age has three levels and gender two. In all, there are 3 x 2 = 6 groups or
cells. With this layout, we obtain scores on occupational stress from employee(s) belonging to
the six cells.
Testing for Interaction

There are two versions of the Two-Way ANOVA.

The basic version has one observation in each cell - one occupational stress score from one
employee in each of the six cells.

The second version has more than one observation per cell but the number of observations in
each cell must be equal. The advantage of the second version is it also helps us to test if there is
any interaction between the two factors.

For instance, in the example above, we may be interested to know if there is any interaction
between age and gender.

This helps us to know if age and gender are independent of each other - they are independent if
the effect of age on stress remains the same irrespective of whether we take gender into
consideration.

Hypothesis Testing

In the basic version there are two null hypotheses to be tested.

 H01: All the age groups have equal stress on the average
 H02: Both the gender groups have equal stress on the average.
In the second version, a third hypothesis is also tested:

 H03: The two factors are independent or that interaction effect is not present.
The computational aspect involves computing F-statistic for each hypothesis.
 Assumption

The assumptions in both versions remain the same - normality, independence and equality
of variance.

Advantages

 An important advantage of this design is it is more efficient than its one-way counterpart.
There are two assignable sources of variation - age and gender in our example - and this helps
to reduce error variation thereby making this design more efficient.

 Unlike One-Way ANOVA, it enables us to test the effect of two factors at the same time.

 One can also test for independence of the factors provided there are more than one observation
in each cell. The only restriction is that the number of observations in each cell has to be equal
(there is no such restriction in case of one-way ANOVA).

Replication, Randomization and Local Control

An Two-Way ANOVA satisfies all three principles of design of experiments namely replication,
randomization and local control.
Principles of replication and randomization need to be satisfied in a manner similar to One-Way
ANOVA.

The principle of local control means to make the observations as homogeneous as possible so
that error due to one or more assignable causes may be removed from the experimental error.

Example:
(Azcel, 4th edition.)
The brightness of films produced by 3 different manufacturers has been compared using 3
different
development
processes:

All p-values are below 0.01%, so both manufacturer and development method have an impact.
There is also an interaction effect: F = 61.756/5.811 = 10.627 Degrees of freedom: (3 − 1)(3 − 1)
= 4 and 45 − 3 · 3 = 36 Critical value: F0.05(4, 36) = 2.63 This implies that main effects must be
checked for each level of the other factor separately. 149 Two-way ANOVA in Excel You can
get the two-way ANOVA table either from Excel’s Data Analysis tool via ‘Anova: Two-Factor
With Replication’ or from the Real Statistics Two Factor ANOVA tool. Doing it with Real
Statistics has the advantage that you get the group specific means in such a way, that excel finds
it easy to produce a line plot of those, which in the context of ANOVA is called an interaction
plot. Non-parallel lines in such a plot indicate that there is an interaction effect, which implies
that the main effects hold only on average for each factor, but not for the factor levels
individually, making it necessary to investigate the factor levels one by one. The p-value of the
interaction effect in the ANOVA table tells whether interaction is present also out of sample.
Two- Way
ANOVA
with 1

Observation/Cell The case of one data point in every cell presents a problem in two-way
ANOVA because then DFE = observations − groups = 0. However, if we may assume that there
are no interactions, then SSAB is only due to error and contains no other information. In that
case we may use SSAB and its associated degrees of freedom DFAB= (I − 1)(J − 1) in place of
SSE and its degrees of freedom. We can thus conduct the tests for the main effects by dividing
MSA (MSB) by MSAB when testing for factor A (factor B) main effects. The resulting F-
statistics has I − 1 and (I −1)(J −1) degrees of freedom for factor A, and J − 1 and (I − 1)(J − 1)
degrees of freedom for factor B. The fixed effects two-way ANOVA model with one observation
per cell reduces then to: Xijk = µ + αi + βj + ijk, ijk ∼ N(0, σ2 ).

Randomized Complete Block Design When we want to compare the means of k population
means while controlling extraneous variables, a procedure known as blocking is used. A block
(lohko) is a collection of k experimental units that are as nearly alike as possible with respect to
the extraneous variables. (A block could be the same person trying k different products.) Each
treatment is randomly assigned to 1 unit within each block (random order in trying the products).
Since the effect of the extraneous variables is controlled by matching like experimental units,
any differences in response are attributed to treatment effects. This randomized complete block
design (also called repeated measures ANOVA or one-way ANOVA with repetition) may be
regarded as a two-way ANOVA with one item per cell because the blocks may be viewed as one
factor and the treatment levels as the other. In the randomized block design, however, we are
only interested in the treatment levels and not in the blocks. 153 Because the randomized
complete block design is just a two-way ANOVA with one observation per cell, we may test the
null hypothesis H0 : µ1 = µ2 = · · · = µk . with an F-test of the form F = MSTR MSE ∼ F(k − 1,
(k − 1)(b − 1)), where k denotes the number of treatments and b denotes the number of blocks.
Note that the randomized complete block design assumes that there is no interaction between
treatments and blocks! You get the randomized complete block design from Excel’s Data
Analysis tool via ‘Annova: Two-Factor Without Replication’ or from Real Statistics’ ‘One
Repeated Measures ANOVA’. If you choose the Real Statistics tool, which allows you also to
calculate contrasts and Tukey’s HSD, make sure to put the treatments into columns and the
blocks into rows. Blocks are then denoted as subjects and treatments as groups.

Sources:
https://www.statisticshowto.datasciencecentral.com/
https://www.wallstreetmojo.com
https://opentextbc.ca/introductorybusinessstatistics/chapter/f-test-and-one-way-anova-2/
http://lipas.uwasa.fi/~bepa/Riippu6.pdf