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A Study of the Top MBA Programs Attempted to Predict F=100.42\mathrm { F } = 100.42

Question 77

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A study of the top MBA programs attempted to predict the average starting salary (in $1000ʹs) of graduates of the program based on the amount of tuition (in $1000ʹs) charged by the program and
The average GMAT score of the programʹs students. The results of a regression analysis based on a
Sample of 75 MBA programs is shown below: Least Squares Linear Regression of Salary
 A study of the top MBA programs attempted to predict the average starting salary (in $1000ʹs) of graduates of the program based on the amount of tuition (in $1000ʹs) charged by the program and The average GMAT score of the programʹs students. The results of a regression analysis based on a Sample of 75 MBA programs is shown below: Least Squares Linear Regression of Salary    The global-f test statistic is shown on the printout to be the value  \mathrm { F } = 100.42 . Interpret this value. A)  There is insufficient evidence, at  \alpha = 0.05 , to indicate that at least one of the variables proposed in the interaction model is useful at predicting the average starting salary of graduates of MBA programs. B)  There is sufficient evidence, at  \alpha = 0.05 , to indicate that there is a curvilinear relationship between average starting salary of graduates of MBA programs and the tuition of the MBA program. C)  There is sufficient evidence, at  \alpha = 0.05 , to indicate that there is a linear relationship between average starting salary of graduates of MBA programs and the tuition of the MBA program. D)  There is sufficient evidence, at  \alpha = 0.05 , to indicate that at least one of the variables proposed in the interaction model is useful at predicting the average starting salary of graduates of MBA programs.

The global-f test statistic is shown on the printout to be the value F=100.42\mathrm { F } = 100.42 . Interpret this value.


A) There is insufficient evidence, at α=0.05\alpha = 0.05 , to indicate that at least one of the variables proposed in the interaction model is useful at predicting the average starting salary of graduates of MBA programs.
B) There is sufficient evidence, at α=0.05\alpha = 0.05 , to indicate that there is a curvilinear relationship between average starting salary of graduates of MBA programs and the tuition of the MBA program.
C) There is sufficient evidence, at α=0.05\alpha = 0.05 , to indicate that there is a linear relationship between average starting salary of graduates of MBA programs and the tuition of the MBA program.
D) There is sufficient evidence, at α=0.05\alpha = 0.05 , to indicate that at least one of the variables proposed in the interaction model is useful at predicting the average starting salary of graduates of MBA programs.

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