Exhibit 13-2
A regression model between sales Y in $1,000), unit price X1 in dollars) and television advertisement X2 in dollars) resulted in the following function:
$\hat { Y }$ =7-3X1+5X2
For this model SSR = 3500, SSE = 1500, and the sample size is 18.
-Refer to Exhibit 13-2. To test for the significance of the model, the test statistic F is
A) 2.33
B) 0.70
C) 17.5
D) 1.75

Question

Exhibit 13-2
A regression model between sales Y in $1,000), unit price X1 in dollars) and television advertisement X2 in dollars) resulted in the following function:
 $\hat { Y }$ =7-3X1+5X2
For this model SSR = 3500, SSE = 1500, and the sample size is 18.
-Refer to Exhibit 13-2. To test for the significance of the model, the test statistic F is
A) 2.33
B) 0.70
C) 17.5
D) 1.75

Quizplus · Accepted Answer

The F-statistic is calculated using the formula F = (SSR/k) / (SSE/(n-k-1)), where SSR is the regression sum of squares, SSE is the error sum of squares, n is the sample size, and k is the number of independent variables. Here, F = (3500/2) / (1500/(18-2-1)) = 17.5.

Exhibit 13-2 a Regression Model Between Sales Y in $1,000) Y^\hat { Y }Y^

Exhibit 13-2
a Regression Model Between Sales Y in $1,000) $\hat { Y }$