But one should keep all the assumptions in mind before performing this test. So in a nutshell, F-Test is a very important tool in statistics if we want to compare the variation of 2 or more data sets. F-test also has great relevance in regression analysis and also for testing the significance of R 2. So when we have two independent samples which are drawn from a normal population and we want to check whether or not they have the same variability, we use F-test. Relevance and Use of F-Test Formulaį-Test, as discussed above, helps us to check for the equality of the two population variances. These are the key parameters/assumption which should be taken care of while performing F-Test. Population sets out of which the samples are drawn out must be normally distributed.Both the samples should be independent of each other and sample size should be less than 30.We only use variance is the F value calculation and if we are given with standard deviations, as in example 2, they must be squared to find the variance.If we want to perform 2 tail test, we need to divide the level of significance by 2 and that will the correct level to find the critical value.First thing is that we need to always place the higher variance value numerator while calculating the F value.But there is a set of assumption we need to take care before performing F-Test otherwise we will not get required results: In the examples above, we have seen the application of F-Test and how it is performed. Since the F critical > F value, the null hypothesis cannot be rejected. In your analysis, you have collected the following information: Suppose that you are working in a research company and want to the level of carbon oxide emission happening from 2 different brands of cigarettes and whether they are significantly different or not. Since F critical is greater than the F value, we cannot reject the null hypothesis. Null Hypothesis: Variance of A = Variance of Bį Value is calculated using the formula given belowį Value = Variance of 1 st Data Set / Variance of 2 nd Data Set Perform F-Test to determine whether we can reject the null hypothesis at a 1% level of significance. Let’s say we have two data sets A & B which contains different data points.
#F test in stata download#
You can download this F-TEST Formula Excel Template here – F-TEST Formula Excel Template F-Test Formula – Example #1