Briefly Explain the Assumptions on Which the Statistical Hypothesis Tests

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The Answer is The statistical hypothesis tests associated with regression analysis are predicated on some key assumptions about the data.
1) Linearity: This is usually checked by examining a scatter diagram of the data or examining the residual plot. If the model is appropriate, then the residuals should appear to be randomly scattered about zero, with no apparent pattern.
2) Normality of errors: Regression analysis assumes that the errors for each individual value of
X are normally distributed, with a mean of zero.
3) Homoscedasticity: This means that the variation about the regression line is constant for all values of the independent variable.
4) Independence of errors: Residuals should be independent for each value of the independent variable.

Briefly Explain the Assumptions on Which the Statistical Hypothesis Tests

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