SCENARIO 14-8
a Financial Analyst Wanted to Examine the Relationship $\beta$

question 45

True/False

SCENARIO 14-8
A financial analyst wanted to examine the relationship between salary (in $1,000) and 2 variables: age (X₁ = Age) and experience in the field (X₂ = Exper). He took a sample of 20 employees and obtained the following Microsoft Excel output:


Also, the sum of squares due to the regression for the model that includes only Age is 5022.0654 while the sum of squares due to the regression for the model that includes only Exper is 125.9848.
-Referring to Scenario 14-8,the analyst wants to use a t test to test for the significance of the coefficient of X₂.At a level of significance of 0.01,the department head would decide that $\beta$ ₂ $\neq$ 0 .

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Definitions:

Nipple

A small projection on the surface of the breast through which milk is delivered.

Cheek

The part of the face that is below the eye and to the side of the nose and mouth.

Adolescents

Young people in the transitional stage from childhood to adulthood, typically between the ages of 13 and 19.

Well-adjusted

Describes an individual who is mentally and emotionally stable, able to cope effectively with the stresses and demands of life.