TABLE 13-9
It is believed that, the average numbers of hours spent studying per day (HOURS) during undergraduate education should have a positive linear relationship with the starting salary (SALARY, measured in thousands of dollars per month) after graduation. Given below is the Excel output from regressing starting salary on number of hours spent studying per day for a sample of 51 students.
Note: Some of the numbers in the output are purposely erased.

-Referring to Table 13-9, the value of the measured t-test statistic to test whether average SALARY depends linearly on HOURS is
A) -4.7134
B) -1.8940
C) 0.9795
D) 13.3561

Question

TABLE 13-9
It is believed that, the average numbers of hours spent studying per day (HOURS) during undergraduate education should have a positive linear relationship with the starting salary (SALARY, measured in thousands of dollars per month) after graduation. Given below is the Excel output from regressing starting salary on number of hours spent studying per day for a sample of 51 students.
Note: Some of the numbers in the output are purposely erased.
 
-Referring to Table 13-9, the value of the measured t-test statistic to test whether average SALARY depends linearly on HOURS is
A) -4.7134 
B) -1.8940 
C) 0.9795 
D) 13.3561

Quizplus · Accepted Answer

The t-test statistic given in the output for the variable HOURS has a value of 13.3561, which is much larger than the critical t-value at the 5% significance level (2.0096 for a two-tailed test with 49 degrees of freedom). Therefore, we reject the null hypothesis that the slope of the linear regression model is zero, and conclude that there is a significant linear relationship between the predictor variable HOURS and the response variable SALARY.

TABLE 13-9 It Is Believed That, the Average Numbers of Hours Spent