SOLUTION: 12.50 In the following regression, X = total assets ($ billions), Y = total revenue ($ billions), and n = 64 large banks. (a) Write the fitted regression equation. (b) State the d
Algebra.Com
Question 183491: 12.50 In the following regression, X = total assets ($ billions), Y = total revenue ($ billions), and n = 64 large banks. (a) Write the fitted regression equation. (b) State the degrees of freedom for a two tailed test for zero slope, and use Appendix D to find the critical value at α = .05. (c) What is your conclusion about the slope? (d) Interpret the 95 percent confidence limits for the slope. (e) Verify that F = t2 for the slope. (f) In your own words, describe the fit of this regression.
R2 0.519
Std. Error 6.977
n 64
ANOVA table
Source SS df MS F p-value
Regression 3,260.0981 1 3,260.0981 66.97 1.90E-11
Residual 3,018.3339 62 48.6828
Total 6,278.4320 63
Regression output confidence interval
Variables coefficients std. error t (df = 62) p-value 95% lower 95% upper
Intercept 6.5763 1.9254 3.416 .0011 2.7275 10.4252
X1 0.0452 0.0055 8.183 1.90E-11 0.0342 0.0563
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
In the following regression, X = total assets ($ billions), Y = total revenue ($ billions), and n = 64 large banks.
----------------------------------------------------
(a) Write the fitted regression equation.
Y = 0.0452X + 6.5763
-----------------------------------------------------------
(b) State the degrees of freedom for a two tailed test for zero slope, and use Appendix D to find the critical value at α = .05.
df = 62
crit value: t = 2.00
-----------------------------
(c) What is your conclusion about the slope?
The p-value is less than 5% so reject Ho that the slope is zero.
-----------------------------
(d) Interpret the 95 percent confidence limits for the slope.
With 95% confidence we can say the slope is between 0.0342. and 0.0563
-----------------------------
(e) Verify that F = t2 for the slope.
66.97 = 8.183^2
(f) In your own words, describe the fit of this regression.
The p-value for the Regression of 1.90E-11 is strong evidence that
X and Y are strongly related.
------------------------------------------------------
Cheers,
Stan H.
==============================================================================
R2 0.519
Std. Error 6.977
n 64
ANOVA table
Source......... SS......df.... MS......... F... p-value
Regression 3,260.0981 1 3,260.0981 66.97 1.90E-11
Residual...3,018.3339.. 62.... 48.6828
Total..... 6,278.4320.. 63
----------------------------------
Regression output confidence interval
Variables coefficients std. error t (df = 62) p-value 95% lower 95% upper
Intercept... 6.5763.. 1.9254..... 3.416.......0.0011... 2.7275.. 10.4252
X1.......... 0.0452.. 0.0055..... 8.183...... 1.90E-11..0.0342... 0.0563
RELATED QUESTIONS
In the following regression, X = total assets ($ billions), Y = total revenue ($... (answered by stanbon)
In the following regression, X = total assets ($ billions), Y = total revenue ($... (answered by stanbon)
12.50 In the following regression, X = total assets ($ billions), Y = total revenue ($... (answered by stanbon)
12.50
In the following regression, X = total assets ($ billions), Y = total revenue ($ (answered by stanbon)
Below are revenue and profit (both in $ billions) for nine large entertainment companies. (answered by stanbon)
Chapter 11: Exercise 11.2 (ANOVA)
11.2 One particular morning, the length of time spent... (answered by stanbon)
Last year Coca-Cola and PepsiCo had a combined revenue of $66 billion. If Coca-Cola... (answered by ikleyn)
The total amount spent by Americans on shoes and clothing from 2000 to 2009 can be... (answered by stanbon)
Sometimes mathematical models other than linear models are appropriate for data. Suppose... (answered by stanbon)