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

question 150

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
 Multiple R 0.916 R Square 0.839 Adjusted R Square 0.732 Standard Error 0.24685 Observations 6\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
df SS  MS F Signif F Regression 20.952190.476107.8130.0646 Residual 30.182810.06094 Total 51.13500\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}

 Coeff  StdError t Stat P-value  Intercept 4.5938971.133745424.0520.0271 Units 0.2472700.062684853.9450.0290 Total SAT 0.0014430.001012411.4250.2494\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 use a t test to test for the significance of the coefficient of X1.At a level of significance of 0.05, the departmenthead would decide that β\beta 1 \neq 0 .


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