SCENARIO 13-7
the Department Head of the Accounting Department Wanted

question 161

True/False

SCENARIO 13-7
The department head of the accounting department wanted to see if she could predict the GPA of students using the number of course units and total SAT scores of each.She takes a sample of 6 students and generates the following Microsoft Excel output: SUMMARY OUTPUT
Regression Statistics
$\begin{array} { l l } \text { Multiple R } & 0.916 \\ \text { R Square } & 0.839 \\ \text { Adjusted R Square } & 0.732 \\ \text { Standard Error } & 0.24685 \\ \text { Observations } & 6 \end{array}$

ANOVA
$\begin{array} { l r c c r c } & d f & \text { SS } & \text { MS } & F & \text { Signif } F \\ \text { Regression } & 2 & 0.95219 & 0.47610 & 7.813 & 0.0646 \\ \text { Residual } & 3 & 0.18281 & 0.06094 & & \\ \text { Total } & 5 & 1.13500 & & & \end{array}$

$\begin{array} { l c r c c } & \text { Coeff } & \text { StdError } & t \text { Stat } & P \text {-value } \\ \text { Intercept } & 4.593897 & 1.13374542 & 4.052 & 0.0271 \\ \text { Units } & - 0.247270 & 0.06268485 & - 3.945 & 0.0290 \\ \text { Total SAT } & 0.001443 & 0.00101241 & 1.425 & 0.2494 \end{array}$
-Referring to SCENARIO 13-7, the department head wants to test H0: $\beta$ 1 = $\beta$ 2 = 0 .At a level of significance of 0.05, the null hypothesis is rejected.

---

Definitions:

Time

A continuous, measurable quantity in which events occur in a sequence from the past through the present to the future.

Simple Interest

Interest computed on the original sum of a loan or deposit, not including the effects of compounding throughout the duration.

Simplification

The process of reducing a mathematical expression or equation to its simplest form.

Like Terms

Terms in an algebraic expression that have the same variable factors and thus can be combined or simplified.