A real estate analyst believes that the three main factors that influence an apartment's rent in a college town are the number of bedrooms,the number of bathrooms,and the apartment's square footage.For 40 apartments,she collects data on the rent (y,in $),the number of bedrooms (x₁),the number of bathrooms (x₂),and its square footage (x₃).She estimates the following model: Rent = β₀ + β₁ Bedroom + β₂ Bath + β₃Sqft + ε.The following table shows a portion of the regression results. When testing whether the explanatory variables Bath and Sq ft are jointly significant,the p-value associated with the test is 0.0039.At the 5% significance level,she __________________________________________________________. A) rejects H₀,and concludes that neither of the explanatory variables is significant in explaining Rent B) does not reject H₀,and concludes that neither of the explanatory variables is significant in explaining Rent C) rejects H₀,and concludes that at least one of the explanatory variables,Bath and/or Sq ft,is significant in explaining Rent D) does not reject H₀,and concludes that at least one of the explanatory variables,Bath and/or Sq ft,is significant in explaining Rent

Question

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A p-value of 0.0039 indicates that there is strong evidence against the null hypothesis that both Bath and Sq ft have coefficients equal to zero. Therefore, the analyst rejects H₀ and concludes that at least one of the explanatory variables, Bath and/or Sq ft, is significant in explaining Rent.

A Real Estate Analyst Believes That the Three Main Factors