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SCENARIO 17-8
the Superintendent of a School District Wanted to Predict

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SCENARIO 17-8
The superintendent of a school district wanted to predict the percentage of students passing a sixth-
grade proficiency test. She obtained the data on percentage of students passing the proficiency test
(% Passing), daily mean of the percentage of students attending class (% Attendance), mean teacher
salary in dollars (Salaries), and instructional spending per pupil in dollars (Spending) of 47 schools in
the state. Following is the multiple regression output with Y=%Y = \% Passing as the dependent variable, X1=%X _ { 1 } = \% Attendance, X2=X _ { 2 } = Salaries and X3=X _ { 3 } = Spending:

 Regression Statistics  Multiple R 0.7930 R Square 0.6288 Adjusted R 0.6029 Square  Standard 10.4570 Error  Observations 47\begin{array}{lr}\hline{\text { Regression Statistics }} \\\hline \text { Multiple R } & 0.7930 \\\text { R Square } & 0.6288 \\\text { Adjusted R } & 0.6029 \\\text { Square } & \\\text { Standard } & 10.4570 \\\text { Error } & \\\text { Observations } & 47 \\\hline\end{array}

ANOVA
 SCENARIO 17-8 The superintendent of a school district wanted to predict the percentage of students passing a sixth- grade proficiency test. She obtained the data on percentage of students passing the proficiency test (% Passing), daily mean of the percentage of students attending class (% Attendance), mean teacher salary in dollars (Salaries), and instructional spending per pupil in dollars (Spending) of 47 schools in the state. Following is the multiple regression output with  Y = \%  Passing as the dependent variable,  X _ { 1 } = \%  Attendance,  X _ { 2 } =  Salaries and  X _ { 3 } =  Spending:   \begin{array}{lr} \hline{\text { Regression Statistics }} \\ \hline \text { Multiple R } & 0.7930 \\ \text { R Square } & 0.6288 \\ \text { Adjusted R } & 0.6029 \\ \text { Square } & \\ \text { Standard } & 10.4570 \\ \text { Error } & \\ \text { Observations } & 47 \\ \hline \end{array}    ANOVA     \begin{array}{lrrrrrr} \hline & \text { Coefficients } & \begin{array}{c} \text { Standard } \\ \text { Error } \end{array} & \text { t Stat } & \text { P-value } & \text { Lower 95\% } & \text { Upper 95\% } \\ \hline \text { Intercept } & -753.4225 & 101.1149 & -7.4511 & 0.0000 & -957.3401 & -549.5050 \\ \text { \% Attendance } & 8.5014 & 1.0771 & 7.8929 & 0.0000 & 6.3292 & 10.6735 \\ \text { Salary } & 0.000000685 & 0.0006 & 0.0011 & 0.9991 & -0.0013 & 0.0013 \\ \text { Spending } & 0.0060 & 0.0046 & 1.2879 & 0.2047 & -0.0034 & 0.0153 \\ \hline \end{array}  -Referring to Scenario 17-8, the null hypothesis  H _ { 0 } : \beta _ { 1 } = \beta _ { 2 } = \beta _ { 3 } = 0  implies that percentage of students passing the proficiency test is not affected by some of the explanatory variables.

 Coefficients  Standard  Error  t Stat  P-value  Lower 95%  Upper 95%  Intercept 753.4225101.11497.45110.0000957.3401549.5050 % Attendance 8.50141.07717.89290.00006.329210.6735 Salary 0.0000006850.00060.00110.99910.00130.0013 Spending 0.00600.00461.28790.20470.00340.0153\begin{array}{lrrrrrr}\hline & \text { Coefficients } & \begin{array}{c}\text { Standard } \\\text { Error }\end{array} & \text { t Stat } & \text { P-value } & \text { Lower 95\% } & \text { Upper 95\% } \\\hline \text { Intercept } & -753.4225 & 101.1149 & -7.4511 & 0.0000 & -957.3401 & -549.5050 \\\text { \% Attendance } & 8.5014 & 1.0771 & 7.8929 & 0.0000 & 6.3292 & 10.6735 \\\text { Salary } & 0.000000685 & 0.0006 & 0.0011 & 0.9991 & -0.0013 & 0.0013 \\\text { Spending } & 0.0060 & 0.0046 & 1.2879 & 0.2047 & -0.0034 & 0.0153 \\\hline\end{array}
-Referring to Scenario 17-8, the null hypothesis H0:β1=β2=β3=0H _ { 0 } : \beta _ { 1 } = \beta _ { 2 } = \beta _ { 3 } = 0 implies that percentage
of students passing the proficiency test is not affected by some of the explanatory variables.


Definitions:

Qualifying Child

A dependent child who meets specific IRS criteria concerning age, relationship, residency, and support, allowing the taxpayer to claim certain tax benefits.

EIC

The Earned Income Credit is a refundable tax credit designed for individuals and families with low to moderate income who work, especially those with children.

Qualified Expenses

Expenses that meet criteria set by tax law or other regulations for tax benefits or deductions.

Felony Drug Possession

A serious criminal charge involving the unauthorized possession of controlled substances, which is illegal under federal and state laws.

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