TABLE 14-11
a Logistic Regression Model Was Estimated

question 39

Multiple Choice

TABLE 14-11
A logistic regression model was estimated in order to predict the probability that a randomly chosen university or college would be a private university using information on average total Scholastic Aptitude Test score (SAT) at the university or college, the room and board expense measured in thousands of dollars (Room/Brd) , and whether the TOEFL criterion is at least 550 (Toefl550 = 1 if yes, 0 otherwise.) The dependent variable, Y, is school type (Type = 1 if private and 0 otherwise) .
Logistic Regression Table
$\begin{array}{lrrrrrrr} & & & && \text { Odds } & \text { 95: CI } \\\text { Predictor } & {\text { Coef }} & \text { SE Coef } & Z &{\text { P }} & \text { Ratio } & \text { Lower } & \text { Upper } \\\text { Constant } &-27.118&6 .696& -4.05 & 0.000 & & & \\\text { SAT } & 0.015 & 0.004666 & 3.17 & 0.002 & 1.01 & 1.01 & 1.02 \\\text { Toefl550 } & -0.390 & 0.9538 & -0.41 & 0.682 & 0.68 & 0.10 & 4.39 \\\text { Room/Brd } & 2.078 & 0.5076 & 4.09 & 0.000 & 7.99 & 2.95 & 21.60\end{array}$

Log-Likelihood = -21.883
Test that all slopes are zero: G = 62.083, DF = 3, P-Value = 0.000
Goodness-of-Fit Tests

$\begin{array}{lrcr}\text { Method } & \text { Chi-Square } & \text { DF } & \text { P } \\ \text { Pearson } & 143.551 & 76 & 0.000 \\ \text { Deviance } & 43.767 & 76 & 0.999 \\ \text { Hosmer-Lemeshow } & 15.731 & 8 & 0.046\end{array}$
-Referring to Table 14-11, which of the following is the correct interpretation for the SAT slope coefficient?

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Definitions:

FOB

Stands for Free On Board, a term used in international shipping indicating that the seller bears the cost of loading goods onto a shipping vessel, while the buyer pays for transportation and insurance.

Shipment Contract

A sales agreement where the seller is obligated to send the goods to a specific destination, and the risk of loss passes to the buyer when the goods are delivered to the carrier.

Risk of Loss

The responsibility for the loss of goods during shipment, transfer, or at any time before the completion of a sale, typically determined by contract terms.

Shipment Contract

A type of sales contract where the seller is required to send the goods to the buyer, but the risk of loss passes when the goods are handed to the carrier.