Question

Consider the estimated equation from your textbook:

Test score = 698.9 - 2.28x STR, R^2 = 0.051, SER = 18.6

(10.4)(0.52)

Test for the null hypothesis H0: B1 = -2 with a significant level of 5%

Show steps please

Answer 1

## Q ) Consider the estimated equation from your textbook:

Test score = 698.9 - 2.28 x STR,

(10.4) (0.52)

R^2 = 0.051, SER = 18.6

Test for the null hypothesis H0: B1 = -2 with a significant level of 5%

Show steps please

## step 1) To test : statement for null and alternative hypothesis :

H0: B1 = -2 vs H0: B1 ≠  -2

## step 2) test statistics :

t = ( b1 - B1 ) / se (b1)

here b1 : estimated slope value = -2.28

and standard error for slope = se (b1) = 0.52

t = ( -2.28 - (-2) ) / 0.52

t = ( - 0.28 ) / 0.52

t = - 0.5384

## step 3 ) alpha or level of significance = 0.05

## step 4 ) p value = 0.598 ( used statistical table )

## Step 5 ) Decision : we reject Ho if p value is less than alpha value using p value approach

here p value is greater than alpha value we fail to reject Ho at given level of signficance .

## Step 6 ) Conclusion :

There is insufficient evidence to conclude that coefficient B1 is significant at given alpha level .

we accpet null hypothesis that is B1 = -2