Question

SCENARIO 13-9 It is believed that, the average numbers of hours spent studying per day (HOURS) during undergraduate education should have a positive linear relationship with the starting salary (SALARY, measured in thousands of dollars per month) after graduation. Given below is the Excel output for predicting starting salary (7) using number of hours spent studying per day (X) for a sample of 51 students. NOTE: Only partial output is shown. Regression Statistics Multiple R 0.8857 0.7845 Adjusted R Square 0.7801 Standard Error 1.3704 Observations 51 R Square ANOVA of SS 335.0472 F 178.3859 Significance ? 1 MS 335.0473 1.8782 Regression Residual Total 50 427.0798 Standard Error 0.1018 0.0733 Coefficients -1.8940 0.9795 Intercept Hours 1 Star 4.7134 13.3561 Poalue 0.0000 0.0000 Lower 95% -2.7015 0.8321 Uyper 95% -1.0865 1.1269 Note: 2.051E-05 = 2.051 10 05 and 5.944E-18 = 5.944-10-18 Referring to Scenario 13-9, the estimated change in mean salary (in thousands of dollars) as a result of spending an extra hour per day studying is

Answer 1

Estimated change in mean salary

= Coefficient of slope

= 0.9795 thousand dollars

= $ 979.50