A Study of the Top MBA Programs Attempted to Predict $\$ 1000$

question 23

Multiple Choice

A study of the top MBA programs attempted to predict the average starting salary (in $\$ 1000$ 's) of graduates of the program based on the amount of tuition (in $\$ 1000$ 's) charged by the program and the average GMAT score of the program's students. The results of a regression analysis based on a sample of 75 MBA programs is shown below:
Least Squares Linear Regression of Salary


Cases Included $75 \quad$ Missing Cases 0
One of the $t$ -test test statistics is shown on the printout to be the value $t = 5.58$ . Interpret this value.

• A) There is insufficient evidence, at \(\alpha = 0.05\), to indicate that at least one of the variables proposed in the interaction model is useful at predicting the average starting salary of graduates of MBA programs.
• B) There is insufficient evidence, at \(\alpha = 0.05\), to indicate that the interaction between average tuition and average GMAT score is a useful predictor of the average starting salary of graduates of MBA programs.
• C) There is sufficient evidence, at \(\alpha = 0.05\), to indicate that the interaction between average tuition and average GMAT score is a useful predictor of the average starting salary of graduates of MBA programs.
• D) There is sufficient evidence, at \(\alpha = 0.05\), to indicate that at least one of the variables proposed in the interaction model is useful at predicting the average starting salary of graduates of MBA programs.

---

Definitions:

Warfarin (Coumadin)

A medication used as an anticoagulant (blood thinner) to prevent the formation of harmful blood clots.

INR

International Normalized Ratio, a blood test used to measure the time it takes for blood to clot, important for monitoring patients on anticoagulant therapy.

Lovenox

A brand name for enoxaparin, an anticoagulant medication used to prevent and treat blood clots.