Applicants for a Particular Job,which Involves Extensive Travel in Spanish-Speaking

question 48

Essay

Applicants for a particular job,which involves extensive travel in Spanish-speaking countries,must take a proficiency test in Spanish.The sample data below were obtained in a study of the relationship between the numbers of years applicants have studied Spanish and their score on the test. $$\begin{array} { c | c } \begin{array} { c } \text { Number } \\\text { of years }\end{array} & \text { Score } \\\hline 3 & 57 \\4 & 78 \\4 & 72 \\2 & 58 \\5 & 89 \\3 & 63 \\4 & 73 \\5 & 84 \\3 & 75 \\2 & 48\end{array}$$ Using a 1% level of significance,do the data provide sufficient evidence to conclude that the slope of the regression line is not 0 and hence that number of years of study is useful as a predictor of score on the test?

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Definitions:

Depreciation Expense

Depreciation expense is the allocated amount of the cost of a tangible asset over its useful life, recognized in accounting to account for the decrease in the asset's value over time.

Net Income

The company's remaining earnings once all costs, taxes, and expenses are deducted from its total revenues.

Direct Method

A way of preparing the cash flow statement where actual cash receipts and payments are reported, rather than adjusting net income.

Net Cash Flow

The difference between a company's cash inflows and outflows in a given period.