Introduction A hypothesis is something that has to be proven true.

Its is usually a statement about the population parameter or about the population distribution that we assume. The process of determining whether a given hypothesis is true or not is called as testing of Hypothesis. It tells us whether to accept or reject the hypothesis. To test hypothesis we take samples from the population. Null Hypothesis: The first step in hypothesis testing is to make statement about the population or our claim that we believe is true. A null hypothesis is an assertion about the value of a population parameter which is represented by Ho. Alternative Hypothesis: The alternate hypothesis is a negation of null hypothesis and is denoted by H1. ANOVA (Analysis of Variance):Analysis of variance (ANNOVA) is an advance and popular statistical stool. ANNOVA and regression analysis are most commonly used decision techniques. ANNOVA is a statistical method to determine if there exists any difference among several population means. For example we may want to know the effect on sales of our product by different promotion tools like advertising, counter displays, discount schemes, competition, special offers, etc. ANOVAs are helpful because they possess an advantage over a two-sample t-test. Doing multiple two-sample t-tests would result in an increased chance of committing a type I error. For this reason, ANOVAs are useful in comparing three or more means. The aim of the ANNOVA is to direct any difference among several population means. Chi-square test examines difference between more than two sample means or proportions. The ANNOVA is to examine any significance difference between among several population means. The technique analyses different forms of variance associated with the random samples of population. For conducting ANNOVA, the following assumptions are made : 1. Independent random samples are drawn from the different populations. 2. All populations from which samples have been drawn are normally distributed. 3. The variances of all population are equal.

If the population distributed is close to the normal distribution, the method still yields good results. However, for highly skewed distribution or when the population variance is not close to equal, the ANNOVA method is not suitable. In such case we need to use non-parametric test.

Some popular designs have the following ANOVAs: 1. One-way ANOVA:- It is used to test for differences among two or more independent groups. Typically, however, the one-way ANOVA is used to test for differences among at least three groups, since the two-group case can be covered by a t-test (Gosset, 1908). When there are only two means to compare, the t-test and the ANOVA F-test are equivalent; the relation between ANOVA and t is given by F = t2. 2. Factorial ANOVA:- It is used when the experimenter wants to study the interaction effects of multiple treatment variables. A commonly used type of factorial ANOVA is the 22 (read "two by two") design, where there are two independent variables and each variable has two levels or distinct values. 3. Repeated measures ANOVA:- It is used when the same subjects are used for each treatment (e.g., in a longitudinal study). 4. Mixed-design ANOVA.:- When one wishes to test two or more independent groups subjecting the subjects to repeated measures, one may perform a factorial mixed-design ANOVA, in which one factor is a between-subjects variable and the other is within-subjects variable. This is a type of mixed-effect model. 5. Multivariate analysis of variance (MANOVA):- It is used when there is more than one dependent variable. THE HYPOTHESIS FOR ANNOVA:The ANNOVA analysis tools provide different types of variance analysis. The tool that you should use depends on the number of factors and the number of samples that you from the population that you want to test. In ANNOVA the observation may be classified according to one factor or two. Accordingly the method is called as one way ANNOVA or two way ANNOVA. It is possible to extend the concept of ANNOVA to more than two factors. However in real life situation two factor ANNOVA is sufficient. If the manager is interested in higher order interaction in one survey, special statistical software is available to carry out multi-factor ANNOVA. ANALYSIS WHEN ANNOVA REJECTS NULL HYPOTHESIS:With ANNOVA test we accept null hypothesis, we conclude that this no strong evidence to say that different treatments have any significant effect on the population and we stop.

However, if reject the null hypothesis basis of ANNOVA, we know that not all population mean are equal. But we dont know on what way the differ. This would really provide us information foe decision making so as to which treatment is effective towards our objective. In fact, is most managerial situations we do not expect the null hypothesis to be true, for example testing the effect of sales due to differ promotional methods, or effect on productivity due to different training or motivational initiatives etc.

1. The hypothesis to be tested: We have to prove or disprove that, Companies from the same sector performs in a similar way. Following hypothesis is tested. Null Hypothesis Alternate Hypothesis H0:1= 2= 3= 4 H1: not all means are equal

2. Sector selected : Banking 3. Companies selected: Canara Bank SBI Punjab National Bank Axis Bank

4.Time period for data analysis: Data is collected between the periods of 1st October 2011 to 29st October 2010. So, the data is collected for the period of one month.