A Regression Was Performed on a Sample of 16 Observations $\hat { Y }$

question 45

Essay

A regression was performed on a sample of 16 observations. The estimated equation is =23.5 - 14.28X1+6.72X2+15.68X3. The standard errors for the coefficients are Sb₁ = 4.2, Sb2 = 5.6, and Sb3 = 2.8. For this model, SST = 3809.6 and SSR = 3285.4.
$\hat { Y }$
a. Compute the appropriate t ratios.
b. Test for the significance of β₁, β2 and β3at the 5% level of significance.
c. Do you think that any of the variables should be dropped from the model? Explain.
d. Compute R² and Ra2 . Interpret R².
e. Test the significance of the relationship among the variables at the 5% level of significance.

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Definitions:

Incorporate

Refers to the process of legally declaring a company as a separate entity from its owners.

Staff Planners

Professionals or tools focused on optimizing workforce distribution to ensure that the right number of employees with the right skills are in the right place at the right time.

Major Components

The primary or most important parts that make up a system, structure, or entity.

Benchmarking

The practice of comparing business processes and performance metrics to industry bests and best practices from other companies.