The Following Estimated Regression Equation Was Developed Relating Yearly Income

question 19

Multiple Choice

The following estimated regression equation was developed relating yearly income (y in $1000s) of 30 individuals with their age (x₁) and their gender (x₂) (0 if male and 1 if female) . ​
​ = 30 + .7x₁ + 3x₂
​
Also provided are SST = 1200 and SSE = 384. At the 5% level, the model

• A) is significant.
• B) is not significant.
• C) would be significant if the sample size was larger than 30.
• D) has significant individual parameters.

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Definitions:

Value Perception

The customer's evaluation of the worth of a product or service based on its ability to meet their needs and expectations.

Revenue Analysis

The examination of income generated from sales, investments, or business operations to understand the financial health and profitability of a business.

Market Share Analysis

An assessment of a company's sales in relation to the total sales in its industry, indicating competitiveness and market dominance.

Profitability Analysis

An assessment method to determine the ability of a business to generate earnings compared to its expenses and other relevant costs.