Twenty-One Executives in a Large Corporation Were Randomly Selected to Study

question 16

Essay

Twenty-one executives in a large corporation were randomly selected to study the effect of several factors on annual salary (expressed in $000s). The factors selected were age, seniority, years of college, number of company divisions they had been exposed to, and the level of their responsibility. The results of the regression analysis follow: Test the hypothesis that the regression coefficient for education is equal to 0 at the 0.05 significance level. Report the degrees of freedom, the critical value, the test statistic, and your decision.

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Definitions:

Commander in Chief

The role ascribed to the president of the United States who serves as the supreme commander of the military forces of the country and of the state National Guard units when they are called into active federal service.

State Militias

Military forces maintained by individual states for defense and emergency purposes, distinguishable from the federal armed forces.

Annapolis Convention

A meeting held in 1786 to discuss the commercial problems besetting the United States under the Articles of Confederation, paving the way for the Constitutional Convention of 1787.

Articles of Confederation

The first written constitution of the United States, ratified in 1781, which established a weak central government before being replaced by the U.S. Constitution.