Question

of the The companying regressione whows a regression of MSRP manufacturer's suggested retail prices on both Displacement and Bore for throad motorcycles. Both of the predictors are more of the engine. The displacement is the total volume of wand fuel mixture that an engine can draw in during one cycle. The bore is the diameter of the cylinders Complete parts a nd below IL Click to view the regression table eneo la P. 00974 Type an integer or a decimal) Assume 005. What is the proper conclusion? Faltore There is insuficient evidence that one has a coefficient mais different from zero b) Both of these predictors seem to be early related to MS Explain what the rest in a means. Choose the correct answer below OA Although Bore might be individuali ficat in predicting MSRP in the multiple regression, it does not add enough to the model to have a coeficient that is clearly different from zero. OB Bore has a cool that is w here from zero and is grant in predicting MSRP in the multiple regression C. Bore has a coffent that is clearly d r ome but does not conut in the multiple regression to predicting MSRP OD. Bore has a cofficient that is not clearly diferent from zero but des contribute in the multiple regression to predicting MSRP Click to select your new and then click Check Answer

Answer 1

The hypothesis for checking significance of bore in predicting MSRP is,

H0 : $\beta$ 1 = 0 v/s H1 : $\beta$ 1 not equal to 0

P-value Ford bore is 0.0974

Hence p-value > $\alpha$ ​​​​​​

Hence we fail to reject H0.

There is insufficient evidence that bore has different coefficient different then zero.

Option C is correct.

Bore has a coefficient that is clearly different from zero but does not contribute in multiple regression for predicting MSRP.

(as the test has failed to reject H0 which means bore is not significant for predicting MSRP)