TABLE 14-4
a Real Estate Builder Wishes to Determine How

question 22

Multiple Choice

TABLE 14-4
A real estate builder wishes to determine how house size (House) is influenced by family income (Income) , family size (Size) , and education of the head of household (School) . House size is measured in hundreds of square feet, income is measured in thousands of dollars, and education is in years. The builder randomly selected 50 families and ran the multiple regression.
Microsoft Excel output is provided below:
$\begin{array}{ll} & \text { Regression Stuistics } \\\hline \text { Multiple R } & 0.865 \\\text { R Square } & 0.748 \\\text { Adjusted R Square } & 0.726 \\\text { Standard Error } & 5.195 \\\text { Observations } &50 \\\hline\end{array}$
ANOVA
$\begin{array}{lrrrrr}\hline & \text { d f }& \text {S S } & \text {M S } & \text {F } & \text {Significance F } \\\hline \text {Regression} & & 3605.7736 & 1201.9245 & &0.0000 \\\text {Residual} & & 1214.2264 & 26.3962 & \\Total & 49 & 4820.0000 & & & \\\hline\end{array}$

$\begin{array}{lcccc}\hline & \text { Coefficients} & \text {Standard Error} & \text {t Stat }& \text {p -value} \\\hline \text {Intercept }& -1.6335 & 5.8078 & -0.281 & 0.7798 \\ \text {Income} & 0.4485 & 0.1137 & 3.9545 & 0.0003 \\ \text {Size} & 4.2615 & 0.8062 & 5.286 & 0.0001 \\ \text {School }& -0.6517 & 0.4319 & -1.509 & 0.1383 \\\hline\end{array}$

-Referring to Table 14-4, at the 0.01 level of significance, what conclusion should the builder draw regarding the inclusion of School in the regression model?

• A) School is significant in explaining house size and should be included in the model because its p-value is less than 0.01.
• B) School is not significant in explaining house size and should not be included in the model because its p-value is less than 0.01.
• C) School is significant in explaining house size and should be included in the model because its p-value is more than 0.01.
• D) School is not significant in explaining house size and should not be included in the model because its p-value is more than 0.01.

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Definitions:

Overregularizing

A phenomenon in language acquisition where children apply regular grammatical rules too widely, resulting in incorrect linguistic forms.

Cognitive Flexibility

The cognitive skill of moving between two distinct ideas, or the capacity to consider several ideas at the same time.

Selective Attention

The focusing of conscious awareness on a particular stimulus while ignoring other perceivable stimuli.

Metalinguistic Awareness

The ability to reflect upon and manipulate the structural components of language.