Use the following to answer questions :
The following table lists the monthly incomes (in hundreds of dollars)and the monthly rents paid (in hundreds of dollars)by a sample of six families.

-The null hypothesis is that the slope of the population regression line of monthly rent on monthly income is zero and the alternative hypothesis is that the slope of this population regression line is greater than zero.The significance level is 1%.What is the critical value of t?
A)3.747
B)3.143
C)3.365
D)4.032

Question

Use the following to answer questions :
The following table lists the monthly incomes (in hundreds of dollars)and the monthly rents paid (in hundreds of dollars)by a sample of six families.
 
-The null hypothesis is that the slope of the population regression line of monthly rent on monthly income is zero and the alternative hypothesis is that the slope of this population regression line is greater than zero.The significance level is 1%.What is the critical value of t?
A)3.747 
B)3.143 
C)3.365 
D)4.032

Quizplus · Accepted Answer

The critical value of t for a one-tailed test at a 1% significance level with a large sample size (degrees of freedom approaching infinity) is approximately 2.326. However, since the options provided are for smaller sample sizes, option A (3.747) is the closest critical value for a one-tailed test at the 1% level with a smaller sample size.

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