Exhibit 17

question 56

Multiple Choice

Exhibit 17.2.To examine the differences between salaries of male and female middle managers of a large bank,90 individuals were randomly selected and 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.
Also,the following Excel partial outputs corresponding to the following models are available:
Model A: Salary = β₀ + β₁Educ + β₂Exper + β₃Train + β₄Gender + ε Model B: Salary = β₀ + β₁Educ + β₂Exper + β₃Gender + ε Refer to Exhibit 17.2.A group of female managers considers a discrimination lawsuit if on average their salaries could be statistically proven to be lower by more than $500 than the salaries of their male peers with the same level of education and experience.Using Model B,what is the conclusion of the appropriate test at 10% significance level?

• A)Do not reject H₀;the salaries of female managers cannot be proven to be lower on average by more than $500.
• B)Reject H₀;the salaries of female managers cannot be proven to be lower on average by more than $500.
• C)Do not reject H₀;the salaries of female mangers are lower on average by more than $500.
• D)Reject H₀;the salaries of female mangers are lower on average by more than $500.

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Definitions:

Gene

A unit of heredity made up of DNA that is responsible for the physical and inheritable characteristics or phenotype of an organism.

Gene Pool

The total variety of genetic information possessed by a sexually reproducing population.

Genetic Information

The hereditary material in the form of DNA sequences that codes for the biological characteristics of organisms.

Germ Cells

The reproductive cells that give rise to sperm and ova, containing half the genetic material of other body cells.