To Examine the Differences Between Salaries of Male and Female

question 99

Multiple Choice

To examine the differences between salaries of male and female middle managers of a large bank, 90 individuals were randomly selected, and two models were created with the following variables considered: Salary = the monthly salary (excluding fringe benefits and bonuses) ,
Educ = the number of years of education,
Exper = the number of months of experience,
Train = the number of weeks of training,
Gender = the gender of an individual; 1 for males, and 0 for females.
Excel partial outputs corresponding to these models are available and shown below.
Model A: Salary = β₀ + β₁Educ + β₂Exper + β₃Train + β₄Gender + ε Model B: Salary = β₀ + β₁Educ + β₂Exper + β₃Gender + ε For a test of individual significance about gender, what is the conclusion at 5% significance level?

• A) Do not reject H₀; we can conclude gender is significant.
• B) Reject H₀; we can conclude gender is significant.
• C) Reject H₀; we cannot conclude gender is significant.
• D) Do not reject H₀; we cannot conclude gender is significant.

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