A Sample of General Mills Employees Was Studied to Determine

question 78

Multiple Choice

A sample of General Mills employees was studied to determine their degree of satisfaction with their present life. A special index, called the index of satisfaction, was used to measure satisfaction. Six factors were studied: age at the time of first marriage (X₁) , annual income (X₂) , number of children living (X₃) , value of all assets (X₄) , status of health in the form of an index (X₅) , and the average number of social activities per week (X₆) . Suppose the multiple regression equation is: Y' = 16.24 + 0.017X₁ + 0.00028X₂ +42X₃ + 0.0012X₄ + 0.09X₅ + 26.8X₆.
Explain the meaning of b₃.

• A) For each additional living child, their satisfaction index is expected to increase by 4.2 points.
• B) For each additional living child, their satisfaction index is expected to increase by 42 points.
• C) For each additional living child, their satisfaction index is expected to increase by 0.42 points.
• D) For each additional$1,000 of annual income, their satisfaction index is expected to increase by 0.028 points.
• E) For each additional$1,000 of annual income, their satisfaction index is expected to increase by 2.8 points.

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