THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
Suppose you are interested in determining the factors that influence the time required to prepare a tax return.You develop the model Y = β₀ + β₁X₁ + β₂X₂ + β₃

+ β₄X₃ + β₅X₄+ β₆(X₁ ∙ X₄)+ ε,where Y is the amount of time in minutes,X₁ is the income of the individual (in thousands of dollars),X₂ is the age of the individual,X₃ is the number of people living in the household,and X₄ is a dummy variable that takes the value 1 if the individual owns his or her own home.After interviewing 40 accountants,you obtained
= 17.2 + 0.38x₁ + 1.04x₂ - 0.04
+ 2.15x₃ + 0.11x₄ - 0.22(x₁ ∙ x₄),
= 5.3,
= 0.13,
= 0.33,
= 1.51,
= 4.7,
= 0.05,and
= 0.07.
-Test the hypothesis H₀: β₅= 0 and interpret your result.

Question

THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
Suppose you are interested in determining the factors that influence the time required to prepare a tax return.You develop the model Y = β₀ + β₁X₁ + β₂X₂ + β₃

+ β₄X₃ + β₅X₄+ β₆(X₁ ∙ X₄)+ ε,where Y is the amount of time in minutes,X₁ is the income of the individual (in thousands of dollars),X₂ is the age of the individual,X₃ is the number of people living in the household,and X₄ is a dummy variable that takes the value 1 if the individual owns his or her own home.After interviewing 40 accountants,you obtained

= 17.2 + 0.38x₁ + 1.04x₂ - 0.04

+ 2.15x₃ + 0.11x₄ - 0.22(x₁ ∙ x₄),

= 5.3,

= 0.13,

= 0.33,

= 1.51,

= 4.7,

= 0.05,and

= 0.07.
-Test the hypothesis H₀: β₅= 0 and interpret your result.

Quizplus · Accepted Answer

The Answer of THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION: Suppose you are interested in determining the factors that influence the time required to prepare a tax return.You develop the model Y = β 0 + β 1 X 1 + β 2 X 2 + β 3 + β 4 X 3 + β 5 X 4 + β 6 (X 1 ∙ X 4 ) + ε,where Y is the amount of time in minutes,X 1 is the income of the individual (in thousands of dollars),X 2 is the age of the individual,X 3 is the number of people living in the household,and X 4 is a dummy variable that takes the value 1 if the individual owns his or her own home.After interviewing 40 accountants,you obtained = 17.2 + 0.38x 1 + 1.04x 2 - 0.04 + 2.15x 3 + 0.11x 4 - 0.22(x 1 ∙ x 4 ), = 5.3, = 0.13, = 0.33, = 1.51, = 4.7, = 0.05,and = 0.07. -Test the hypothesis H₀: β₅= 0 and interpret your result.