Selling Price and Amount Spent Advertising Were Entered into a Multiple

question 2

Multiple Choice

Selling price and amount spent advertising were entered into a multiple regression to determine what affects flat panel LCD TV sales.The correct null and alternative hypotheses for testing the regression coefficient of Price is _______________________ .

• A)H_0: β_P ≠ 0 vs.H_{A :} β _P = 0
• B)H_0: β_P ≥ 0 vs.H_{A :} β _P < 0
• C)H_0: β_P ≤ 0 vs.H_{A :} β _P > 0
• D)H_0: β_P = 0 vs.H_{A :} β _P ≠ 0
• E)H_0: The regression is not significant vs.H_A: the regression is significant

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Definitions:

Standard Deviation

A measure of the amount of variation or dispersion in a set of values, showing how much each value in the set varies from the mean.

Binomial Populations

Populations for which the outcomes can be classified into two categories (success/failure) and the number of successes in a set number of trials can be predicted.

SRS

Stands for Simple Random Sample, a sampling method where each member of the population has an equal chance of being selected.

Confidence Interval

A range of values derived from sample data that is believed, with a certain level of confidence, to contain the true value of the population parameter.