Instruction 16-2
a Chemist Employed by a Pharmaceutical Firm Has

question 27

True/False

Instruction 16-2
A chemist employed by a pharmaceutical firm has developed a muscle relaxant. She took a sample of 14 people suffering from extreme muscle constriction. She gave each a vial containing a dose (X) of the drug and recorded the time to relief (Y) measured in seconds for each. She fit a quadratic model to this data. The results obtained by Microsoft Excel follow.
$\begin{array}{|c|c|c|c|c|c|}\hline & \text { OUTPU? } & & & & \\\hline \text { Regression } & \text { Statistics } & & & & \\\hline \text { Multiple R } & & 0.747 & & & \\\hline \text { R Square } & & 0.558 & & & \\\hline \text { Adj. R Square } & & 0.478 & & & \\\hline \text { Std. Error } & & 863.1 & & & \\\hline \text { Observations } & & 14 & & & \\\hline & & & & & \\\hline \text { ANOVA } & & & & & \\\hline & d f & \text { Ss } & \text { MS } & F & \text { Signif F } \\\hline \text { Regression } & 2 & 10,344,797 & 5,172,399 & 6.94 & 0.0110 \\\hline \text { Residual } & 11 & 8,193,929 & 744,903 & & \\\hline \text { Total } & 13 & 18,538,726 & & & \\\hline & & & & & \\\hline & \text { Coeff } & \text { Std. Error } & \text { t stat } & P \text {-value } & \\\hline \text { Intercept } & 1283.0 & 352.0 & 3.65 & 0.0040 & \\\hline \text { CenDose } & 25.228 & 8.631 & 2.92 & 0.0140 & \\\hline \text { CenDoseSq } & 0.8604 & 0.3722 & 2.31 & 0.0410 & \\\hline\end{array}$
Note: Adj. R Square = Adjusted R Square; Std. Error = Standard Error
-Referring to Instruction 16-2,suppose the chemist decides to use an F test to determine if there is a significant quadratic relationship between time and dose.If she chooses to use a level of significance of 0.05,she would decide that there is a significant curvilinear relationship.

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Definitions:

Marginal Cost

Additional cost incurred by increasing product or service production by one unit, emphasizing the concept of incremental expenditure.

Constant Marginal Cost

A situation in production where the cost to produce one additional unit of output remains the same, regardless of the volume produced.

Reaction Function

In economic models, this function represents how one player's strategy responds to the strategies of other players in a strategic game.

Demand Function

A mathematical formula expressing the amount of a product that consumers are ready and able to purchase at various prices, highlighting the price-demand relationship.