Exhibit 13-3 In a regression model involving 30 observations, the following estimated regression equation was obtained: For this model SSR = 700 and SSE = 100. -Refer to Exhibit 13-3. The conclusion is that the A)model is not significant B)model is significant C)slope of X₁ is significant D)slope of X₂ is significant

Question

Quizplus · Accepted Answer

The model is significant because the sum of squares explained by the model (SSR = 700) is much larger than the sum of squares due to error (SSE = 100). This means that the model is explaining a significant amount of the variability in the data. However, the significance of individual predictors cannot be determined from these statistics alone.

Exhibit 13-3 In a Regression Model Involving 30 Observations, the Following Estimated