In: Statistics and Probability
A study of
3535 secretaries' yearly salaries (in thousands of dollars) was done. The researchers want to predict salaries from several other variables. The variables considered to be potential predictors of salary are months of serviceleft parenthesis x 1 right parenthesisx1, years of educationleft parenthesis x 2 right parenthesisx2, score on a standardized testleft parenthesis x 3 right parenthesisx3, words per minute (wpm) typing speedleft parenthesis x 4 right parenthesisx4, and ability to take dictation in words per minuteleft parenthesis x 5 right parenthesisx5. A multiple regression model with all five variables was run. |
Variable |
Coef |
Std. Error |
t-value |
|
---|---|---|---|---|---|
Intercept |
9.7139.713 |
0.3730.373 |
26.04026.040 |
||
x 1 |
0.1190.119 |
0.0140.014 |
8.5008.500 |
||
x 2 |
0.0670.067 |
0.0210.021 |
3.1903.190 |
||
x 3 |
0.0930.093 |
0.0390.039 |
2.3852.385 |
||
x 4 |
0.0120.012 |
0.3160.316 |
0.0380.038 |
||
x 5 |
0.0650.065 |
0.0230.023 |
2.8262.826 |
Assume that the residual plots show no violations of the conditions for using a linear regression model.
a) What is the regression equation?
ModifyingAbove y with caretyequals=nothingplus+nothingx 1x1plus+nothingx 2x2plus+nothingx 3x3plus+nothingx 4x4plus+nothingx 5x5
(Use integers or decimals for any numbers in the expression.)
b) From this model, what is the predicted salary
ModifyingAbove y with carety
(in thousands of dollars) of a secretary with
66
years
(7272
months) of experience,
99th
grade education
(99
years of education), a
4747
on the standardized test,
5858
wpm typing speed, and the ability to take
2929
wpm dictation?The predicted salary is
nothing
thousand dollars.
(Round to one decimal place as needed.)
c) Test whether the coefficient of words per minute of typing speed
left parenthesis x 4 right parenthesisx4
is significantly different from zero at
alphaαequals=0.050.05.
State the hypotheses.
A.
Upper H 0H0:
Typing speed makes a useful contribution to the model,
beta 4β4equals=0
Upper H Subscript Upper AHA:
Typing speed contributes nothing useful after allowing for the other predictors in the model,
beta 4β4not equals≠0
B.
Upper H 0H0:
Typing speed makes a useful contribution to the model,
beta 4β4not equals≠0
Upper H Subscript Upper AHA:
Typing speed contributes nothing useful after allowing for the other predictors in the model,
beta 4β4equals=0
C.
Upper H 0H0:
Typing speed contributes nothing useful after allowing for the other predictors in the model,
beta 4β4not equals≠0
Upper H Subscript Upper AHA:
Typing speed makes a useful contribution to the model,
beta 4β4equals=0
D.
Upper H 0H0:
Typing speed contributes nothing useful after allowing for the other predictors in the model,
beta 4β4equals=0
Upper H Subscript Upper AHA:
Typing speed makes a useful contribution to the model,
beta 4β4not equals≠0
Identify the test statistic.
nothing
Identify the critical value(s). Recall that
alphaαequals=0.050.05.
nothing
(Use a comma to separate answers as needed. Round to three decimal places as needed.)
Test the null hypothesis (at
alphaαequals=0.050.05)
and state your conlusion.
A.
RejectReject
the null hypothesis. The coefficient
isis
significantly different from zero.
B.
Fail to rejectFail to reject
the null hypothesis. The coefficient
isis
significantly different from zero.
C.
Fail to rejectFail to reject
the null hypothesis. The coefficient
is notis not
significantly different from zero.
D.
RejectReject
the null hypothesis. The coefficient
is notis not
significantly different from zero.
d) How might this model be improved? Select all that apply.
A.Remove
x 4x4
from the regression equation.
B.Remove
x 5x5
from the regression equation.
C.Remove
x 3x3
from the regression equation.
D.Remove
x 1x1
from the regression equation.
E.Remove
x 2x2
from the regression equation.e) A correlation of age with salary finds r =
0.6890.689,
and the scatterplot shows a moderately strong positive linear association. However, if
x 6x6equals=Age
is added to the multiple regression, the estimated coefficient of age turns out to be
negative 0.149−0.149.
Explain some possible causes for this apparent change of direction in the relationship between age and salary.
A.
Older secretaries tend of have fewer years of eduation.
B.
Older secretaries tend to have lower standardized test scores.
C.
Age is an insignificant factor in the model.
D.
Age is likely to be collinear with several of the other predictors already in the model.
Click to select your answer(s).