TABLE 13-10
The management of a chain electronic store would like to develop a model for predicting the weekly sales (in thousands of dollars) for individual stores based on the number of customers who made purchases. A random sample of 12 stores yields the following results:

-Referring to Table 13-10, which is the correct null hypothesis for testing whether the number of customers who make a purchase affects weekly sales?
A) H₀: β₀ = 0
B) H₀: β₁ = 0
C) H₀: μ = 0
D) H₀: π = 0

Question

TABLE 13-10
The management of a chain electronic store would like to develop a model for predicting the weekly sales (in thousands of dollars) for individual stores based on the number of customers who made purchases. A random sample of 12 stores yields the following results:
 
-Referring to Table 13-10, which is the correct null hypothesis for testing whether the number of customers who make a purchase affects weekly sales?
A) H₀: β₀ = 0 
B) H₀: β₁ = 0 
C) H₀: μ = 0 
D) H₀: π = 0

Quizplus · Accepted Answer

The null hypothesis for testing whether the number of customers who make a purchase affects weekly sales is that there is no relationship between the two variables. In other words, the slope of the regression line (β₁) is equal to 0. Therefore, the correct null hypothesis is H₀: β₁ = 0. Options A, C, and D are not relevant to this hypothesis.

TABLE 13-10 the Management of a Chain Electronic Store Would Like to Like