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Instruction 12-8
It Is Believed That Average Grade (Based on a Four

Question 129

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Instruction 12-8
It is believed that average grade (based on a four -point scale) should have a positive linear relationship with university entrance exam scores.Given below is the Microsoft Excel output from regressing average grade on university entrance exam scores using a data set of eight randomly chosen students from a large university.
Regressing average grade on university entrance exam score
 Regression Statistics  Multiple R 0.7598 R Square 0.5774 Adjusted R Square 0.5069 Standard Error 0.2691 Observations 8\begin{array}{lr}\hline {\text { Regression Statistics }} \\\hline \text { Multiple R } & 0.7598 \\\text { R Square } & 0.5774 \\\hline \text { Adjusted R Square } & 0.5069 \\\hline \text { Standard Error } & 0.2691 \\\hline \text { Observations } & 8 \\\hline\end{array}
ANOVA
df SS MSF Significance F  Regression 10.59400.59408.19860.0286 Residual 60.43470.0724 Total 71.0287\begin{array}{llllll} & d f & {\text { SS }} & M S & F & \text { Significance F } \\\hline \text { Regression } & 1 & 0.5940 & 0.5940 & 8.1986 & 0.0286 \\\text { Residual } & 6 & 0.4347 & 0.0724 & & \\\text { Total } & 7 & 1.0287 & & &\end{array}
 Coefficients  Standard Error  t Stat  P-value  Lower 95%  Upper 95%  Intercept 0.56810.92840.61190.56301.70362.8398 University entrance  exam score 0.10210.03562.86330.02860.01480.1895\begin{array}{|l|r|r|r|r|r|r|}\hline & \text { Coefficients } & \text { Standard Error } & \text { t Stat } & \text { P-value } & \text { Lower 95\% } & \text { Upper 95\% } \\\hline \text { Intercept } & 0.5681 & 0.9284 & 0.6119 & 0.5630 & -1.7036 & 2.8398 \\\hline \text { University entrance } & & & & & & \\\text { exam score } & 0.1021 & 0.0356 & 2.8633 & 0.0286 & 0.0148 & 0.1895 \\\hline\end{array}
-Referring to Instruction 12-8,the value of the measured (observed) test statistic of the F test for H0: ?1 = 0 versus H1: ?1 ? 0


A) is always negative.
B) is always positive.
C) may be negative.
D) has the same sign as the corresponding t test statistic.

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