Exhibit 15-8
The following estimated regression model was developed relating yearly income (Y in $1,000s) of 30 individuals with their age (X 1 ) and their gender (X 2 ) (0 if male and 1 if female). Also provided are SST = 1,200 and SSE = 384.
-Refer to Exhibit 15-8. The test statistic for testing the significance of the model is
A)0.73
B)1.47
C)28.69
D)5.22

Question

Exhibit 15-8
The following estimated regression model was developed relating yearly income (Y in $1,000s) of 30 individuals with their age (X 1 ) and their gender (X 2 ) (0 if male and 1 if female).  Also provided are SST = 1,200 and SSE = 384.
-Refer to Exhibit 15-8. The test statistic for testing the significance of the model is
A)0.73 
B)1.47 
C)28.69 
D)5.22

Quizplus · Accepted Answer

The test statistic for testing the significance of the model is typically the F-statistic in regression analysis, which is often a larger value compared to individual coefficients' t-statistics. Here, 28.69 is likely the F-statistic indicating the model's overall significance.

Exhibit 15-8 The Following Estimated Regression Model Was Developed Relating Yearly Income