Question

The exercise involving data in this and subsequent sections were designed to be solved using Excel. The following estimated regression equation is based on 10 observations was presented. ŷ = 29.1270 + 0.5906x1 +0.4980:22 Here SST = 6,614.875, SSR = 6,040.125, Sb, = 0.0812, and Sb= 0.0696. a. Compute MSR and MSE (to 3 decimals). MSR MSE b. Compute the F test statistic (to 2 decimals). Use F table. What is the p-value? ( - Select your answer - At a = .05, what is your conclusion? - Select your answer - c. Compute the t test statistic for the significance of B1 (to 2 decimals). Use t table. The p-value is - Select your answer - 4 At a = .05, what is your conclusion? | - Select your answer - d. Compute the t test statistic for the significance of B2 (to 2 decimals). Use t table. The p-value is - Select your answer - A At a = .05, what is your conclusion? | - Select your answer -

Answer 1

a)  
MSR=6040.125/2=   3020.063
MSE=(6614.875-6040.125)/7=   82.107
  
  
b) F=MSR/MSE=   36.78
p value=   0.000193353

c) t-test statistic =    t = estimated slope / std error =   0.5906   /   0.0812   =   7.27

p-value =    0.0002

conclusion:ß1 is significantly different from zero

d) t-test statistic =    t = estimated slope / std error =   0.498   /   0.0696   =   7.16
                      
Df =    n - 2 =   7              
p-value =    0.0002 [excel function: =t.dist.2t(t-stat,df) ]               

conclusion:ß2 is significantly different from zero