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In determining the best companies to work for, a number of variables are considered, including size, average annual pay, and turnover rate, etc. Moreover, employee surveys are conducted in order to assess aspects of the organization's culture, such as trust and openness to change. In an attempt to determine what affects turnover rate, a sample of 33 companies was randomly selected and data collected on the average annual bonus and turnover rate (%) for 2008. In addition, a questionnaire was administered to the employees of each company to arrive at a trust index (measured on a scale of 0 -100) . Below are the multiple regression results.
-The correct null hypotheses for testing the regression coefficient of Trust Index is

Question

Consider the following to answer the question(s) below::
In determining the best companies to work for, a number of variables are considered, including size, average annual pay, and turnover rate, etc. Moreover, employee surveys are conducted in order to assess aspects of the organization's culture, such as trust and openness to change. In an attempt to determine what affects turnover rate, a sample of 33 companies was randomly selected and data collected on the average annual bonus and turnover rate (%) for 2008. In addition, a questionnaire was administered to the employees of each company to arrive at a trust index (measured on a scale of 0 -100). Below are the multiple regression results. 
-The correct null hypotheses for testing the regression coefficient of Trust Index is
A) β TI ≠ 0 
B) β TI > 0 
C) β TI = 0 
D) β TI < 0 
E) The regression equation is not significant.

Quizplus · Accepted Answer

The null hypothesis for testing a regression coefficient is typically that the coefficient is equal to zero, indicating no effect.

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