Stat Question

04 Jul Stat Question

that may vary between 1 and 5, and the following estimated regression equation was obtained:y=120+10x . Based on the above equation, if price is 3 units, the predicted demand

	A.	increases by 120 units
	B.	decreases 100 units
	C.	is 130 units
	D.	is 150 units

1 points   

QUESTION 2

1. In a regression model, which of the following tests is used in order to determine whether an individual independent variable is significant?

	A.	t test
	B.	z test
	C.	F test
	D.	chi-sqaure test

1 points   

QUESTION 3

1. A variable that takes on the values of 0 or 1 and is used to incorporate the effect of categorical variables in a regression model is called

	A.	an interaction
	B.	a constant variable
	C.	a dummy variable
	D.	none of these alternatives is correct

1 points   

QUESTION 4

1. In multiple regression analysis, the correlation among the independent variables is termed

	A.	homoscedasticity
	B.	linearity
	C.	multicollinearity
	D.	adjusted coefficient of determination

1 points   

QUESTION 5

1. Exhibit 7-1. Linear regression analysis was applied between sales data (y in $1,000s) and advertising expenditures (x in $100s). A random sample of 17 observations led to the following information:

ANOVA
	df	SS	MS	F
Regression		225
Error
Total		300

2.

	Coefficients	Standard Error	t Stat
Intercept	11
Expenditure	2	0.2683

3. Refer to Exhibit 7-1. If $3,000 is spent on advertising, what are the predicted sales?

	A.	6011
	B.	5410
	C.	71000
	D.	66,000

1 points   

QUESTION 6

1. Refer to Exhibit 7-1. If $500 additional dollars is spent on advertising, then the predicted sales will

	A.	9000
	B.	10,000
	C.	12,000
	D.	3600

1 points   

QUESTION 7

1. Refer to Exhibit 7-1.  ___ percent of variations in sales was explained by advertising expenditures.

	A.	75
	B.	80
	C.	70
	D.	85

1 points   

QUESTION 8

1. Refer to Exhibit 7-1. The value of the t statistic for testing whether x and y are related is

	A.	6.71
	B.	7.45
	C.	1.96
	D.	9.55

1 points   

QUESTION 9

1. Refer to Exhibit 7-1. The p-value for testing whether x and y are related is

	A.	between 0.001 and 0.01
	B.	between 0.01 and 0.05
	C.	less than 0.00025
	D.	more than 0.1

1 points   

QUESTION 10

1. Refer to Exhibit 7-1. The 99% confidence interval for the parameter β1 in  extends from

		1.2288 to 2.3724
		1.0090 to 2.5910
		1.2093 to 2.7907
		0.9492 to 2.6515

1 points   

QUESTION 11

1. Exhibit 7-2. A multiple linear regression was used to study how family spending (y) is influenced by income (x1), family size (x2), and additions to savings (x3). The variables y, x1, and x3 are measured in thousands of dollars per year. The following results were obtained.

ANOVA
	DF	SS
Regression		45.9634
Residual	11	2.6218
Total

2.

		Coefficients	Standard Error
	Intercept	0.0136
	x1	0.7992	0.074
	x2	0.2280	0.190
	x3	-0.5796	0.920
	Refer to Exhibit 7-2. What was the number of families used in this study?
3.	A.	12
	B.	13
	C.	14
	D.	15

1 points   

QUESTION 12

1. Refer to Exhibit 7-2. The predicted annual spending of family of size 4 making $90,000 a year, and adding $5,000 annually to their savings is

		$58,491
		$62,385
		$69,956
		$75,603

1 points   

QUESTION 13

1. Refer to Exhibit 7-2. If the family addition to savings increases by $2000, and the values of family income and size remain fixed, the predicted annual family spending

	A.	increase by $799.2
	B.	decreases by $1159.2
	C.	increases by $579.6
	D.	decreases by $579.6

1 points   

QUESTION 14

1. Refer to Exhibit 7-2. The R-square in explaining the variations in family spending explained by family income, size and additions to savings is

		94.6
		90.7
		85.5
		83.4

1 points   

QUESTION 15

1. Refer to Exhibit 7-2. The value of the F statistic for testing the overall significance of the regression model is

	A.	10.75
	B.	64.28
	C.	50.19
	D.	17.21

1 points   

QUESTION 16

1. Refer to Exhibit 7-2. The p-value for testing the overall significance of the regression model is

	A.	less than 0.01
	B.	between 0.01 and 0.025
	C.	between 0.025 and 0.05
	D.	more than 0.05

1 points   

QUESTION 17

1. Refer to Exhibit 7-2. At 1% significance level, the conclusion is that the

	A.	model is insignificant
	B.	model is significant
	C.	x1 is insignificant
	D.	x3 is significant

1 points   

QUESTION 18

1. Refer to Exhibit 7-2. The value of the t statistic for testing whether the family spending and addition to savings are related is

	A.	3.27
	B.	-0.58
	C.	-0.63
	D.	-0.92

1 points   

QUESTION 19

1. Refer to Exhibit 7-2. The p-value for testing whether the family spending and addition to savings are related is

	A.	less than 0.10
	B.	between 0.10 and 0.20
	C.	more than 0.40
	D.	between 0.20 and 0.40

1 points   

QUESTION 20

1. Refer to Exhibit 7-2. The 90% confidence interval for the parameter β3 extends from

	A.	1.2281 to 2.3726
	B.	-2.2319 to 1.0727
	C.	-0.6796 to -0.4796
	D.	-0.9493 to 2.6510