Data Were Collected on the Number of Employees and Whether

question 16

Multiple Choice

Data were collected on the number of employees and whether or not the employees were unionized (1 = yes, 0 = no) for a sample of companies to investigate factors that affect the size of bonuses.Based on the results shown, which of the following statements is true?

• A)The indicator variable in the model is not significant.
• B)The interaction term in the model is not significant.
• C)The indicator variable in the model is significant.
• D)The interaction term should be dropped from the model.
• E)None of the above.

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Definitions:

Metabolism

The chemical processes that occur within a living organism in order to maintain life, involving the conversion of food to energy, elimination of nitrogenous wastes, and the synthesis of necessary compounds.

Legal Age

A defined age at which an individual is granted by law the rights and responsibilities of an adult.

Adolescents

Young people in the transitional stage of physical and psychological development that generally occurs during the period from puberty to legal adulthood.

Alcohol Consumption

The act of drinking beverages containing ethanol, which can range from light to heavy drinking, and has various health and social implications.