SCENARIO 14-4
A real estate builder wishes to determine how house size (House) is influenced by family income (Income) and family size (Size). House size is measured in hundreds of square feet and income is measured in thousands of dollars. The builder randomly selected 50 families and ran the multiple regression. Partial Microsoft Excel output is provided below:

Also SSR (X 1 | X 2 ) = 36400.6326 and SSR (X 1 | X 2 ) = 3297.7917
-Referring to Scenario 14-4,which of the following values for the level of significance is the smallest for which the regression model as a whole is significant?
A)0.0005
B)0.001
C)0.01
D)0.05

Question

SCENARIO 14-4
A real estate builder wishes to determine how house size (House) is influenced by family income (Income) and family size (Size). House size is measured in hundreds of square feet and income is measured in thousands of dollars. The builder randomly selected 50 families and ran the multiple regression. Partial Microsoft Excel output is provided below:

Also SSR (X 1 | X 2 ) = 36400.6326 and SSR (X 1 | X 2 ) = 3297.7917
-Referring to Scenario 14-4,which of the following values for the level of significance is the smallest for which the regression model as a whole is significant?
A)0.0005 
B)0.001 
C)0.01 
D)0.05

Quizplus · Accepted Answer

The level of significance that is the smallest for which the regression model as a whole is significant indicates the most stringent (lowest) p-value that still results in the model being considered statistically significant. A p-value of 0.0005 is the smallest among the options, meaning it requires the strongest evidence against the null hypothesis to consider the model significant.

SCENARIO 14-4 A Real Estate Builder Wishes to Determine How House Size